Question 1

The economic problem refers to

Accepted Answer

A) not having enough money. 
B) the attempt "to secure the greatest amount of pleasure with the least possible outlay". 
C) the notion that the wealth of nations depends on that country's ability to produce goods and services. 
D) the money illusion. 
E) none of the choices are true. 
A) not having enough money. 
B) the attempt "to secure the greatest amount of pleasure with the least possible outlay". 
C) the notion that the wealth of nations depends on that country's ability to produce goods and services. 
D) the money illusion. 
E) none of the choices are true.

Question 2

-Point F

Accepted Answer

A) is where our economy operates most of the time. 
B) is unattainable. 
C) represents a severe recession. 
D) can be temporarily attained under unusual circumstances. 
A) is where our economy operates most of the time. 
B) is unattainable. 
C) represents a severe recession. 
D) can be temporarily attained under unusual circumstances.

Question 3

Statement I: In the modern global economy, if our steel industry were operating at full capacity we could easily get steel from other steel-producing countries. Statement II: The only constraints on our production possibilities frontier are physical constraints such as the number of steel factories available, etc.

Accepted Answer

A) Statement I is true and statement II is false. 
B) Statement II is true and statement I is false. 
C) Both statements are true. 
D) Both statements are false. 
A) Statement I is true and statement II is false. 
B) Statement II is true and statement I is false. 
C) Both statements are true. 
D) Both statements are false.

Question 4

Our nation

Accepted Answer

A) has sometimes attained productive efficiency. 
B) usually attains productive efficiency. 
C) never attained productive efficiency. 
A) has sometimes attained productive efficiency. 
B) usually attains productive efficiency. 
C) never attained productive efficiency.

Question 5

To raise our rate of economic growth, we need more and better _______ as well as more and better _______.

Accepted Answer

The answer of To raise our rate of economic growth,...

Question 6

Assuming that a society always operates on its production possibilities curve, an outward shift of the curve implies

Accepted Answer

A) economic growth has occurred. 
B) the society is making more efficient use of its available resources. 
C) consumer demand has increased. 
D) the present value of capital resources has increased. 
A) economic growth has occurred. 
B) the society is making more efficient use of its available resources. 
C) consumer demand has increased. 
D) the present value of capital resources has increased.

Question 7

If our nation's maximum possible output of any one good is produced, given the output of other goods, we have attained ___________.

Accepted Answer

productive

Question 8

During World War II, a nation's opportunity cost of devoting resources to the war effort was _____________.

Accepted Answer

producing

Question 9

All of the following statements are true about entrepreneurship except:

Accepted Answer

A) The entrepreneur assembles the other needed resources. 
B) The entrepreneur risks her or his own money. 
C) The entrepreneur reaps the profits or suffers the losses of the enterprise he or she creates. 
D) The term entrepreneur is synonymous with the term inventor. 
A) The entrepreneur assembles the other needed resources. 
B) The entrepreneur risks her or his own money. 
C) The entrepreneur reaps the profits or suffers the losses of the enterprise he or she creates. 
D) The term entrepreneur is synonymous with the term inventor.

Question 10

-Place point X on the graph to indicate full employment, point Y to indicate economic growth and point Z to indicate a bad depression.

Accepted Answer

The answer of  
-Place point X on the graph...

Question 11

-The economy could reach point W if it

Accepted Answer

A) reduced the unemployment rate. 
B) achieved economic growth. 
C) decreased its quantity of land, labor and capital. 
D) shifted resources from butter production into the manufacturing guns. 
A) reduced the unemployment rate. 
B) achieved economic growth. 
C) decreased its quantity of land, labor and capital. 
D) shifted resources from butter production into the manufacturing guns.

Question 12

Which statement is true?

Accepted Answer

A) On the production possibilities frontier we have zero unemployment. 
B) On the production possibilities frontier 95 percent of the labor force is employed. 
C) To get out of a recession, we must produce at some point beyond our production possibilities frontier. 
D) To have economic growth, we must push the production possibilities frontier inward. 
A) On the production possibilities frontier we have zero unemployment. 
B) On the production possibilities frontier 95 percent of the labor force is employed. 
C) To get out of a recession, we must produce at some point beyond our production possibilities frontier. 
D) To have economic growth, we must push the production possibilities frontier inward.

Question 13

The four economic resources are: __________, __________, ___________ and _________.

Accepted Answer

land; labo

Question 14

The study of economics

Accepted Answer

A) is a very narrow endeavor. 
B) is a way of analyzing decision-making processes caused by scarcity. 
C) focuses on how a business should function. 
D) is concerned with proving that capitalism is better than socialism. 
A) is a very narrow endeavor. 
B) is a way of analyzing decision-making processes caused by scarcity. 
C) focuses on how a business should function. 
D) is concerned with proving that capitalism is better than socialism.

Question 15

We can increase our rate of economic growth by

Accepted Answer

A) devoting more of our output to capital goods. 
B) devoting more of our output to improving our technology. 
C) devoting more of our output to improving the quality of our labor force. 
D) all of the choices are true. 
A) devoting more of our output to capital goods. 
B) devoting more of our output to improving our technology. 
C) devoting more of our output to improving the quality of our labor force. 
D) all of the choices are true.

Question 16

We temporarily operated outside the production possibilities frontier for at least two years in which one of the following decades?

Accepted Answer

A) The 1930s 
B) The 1940s 
C) The 1970s 
D) The 1980s 
A) The 1930s 
B) The 1940s 
C) The 1970s 
D) The 1980s

Question 17

Which is the most accurate statement?

Accepted Answer

A) In order to have full production, there must be full employment. 
B) In order to have full employment, there must be full production. 
C) Both statements are accurate. 
D) Neither statement is accurate. 
A) In order to have full production, there must be full employment. 
B) In order to have full employment, there must be full production. 
C) Both statements are accurate. 
D) Neither statement is accurate.

Question 18

People are forced to economize because of

Accepted Answer

A) competition. 
B) pressure to conform. 
C) scarcity. 
D) the absence of money. 
E) the presence of taxes. 
A) competition. 
B) pressure to conform. 
C) scarcity. 
D) the absence of money. 
E) the presence of taxes.

Question 19

Hypothetical Production Schedule for a Two-Product Economy  
-In the table above, points A through F represent _______________________ of resources.

Accepted Answer

The answer of Hypothetical Production Schedule for a Two-Product Economy...

Question 20

-What is the opportunity cost of going from point C to point D?

Accepted Answer

The answer of  
-What is the opportunity cost of...

The economic problem refers to

-Point F

Our nation

To raise our rate of economic growth, we need more and better _ as well as more and better _.

Assuming that a society always operates on its production possibilities curve, an outward shift of the curve implies

If our nation's maximum possible output of any one good is produced, given the output of other goods, we have attained ___________.

During World War II, a nation's opportunity cost of devoting resources to the war effort was _____________.

All of the following statements are true about entrepreneurship except:

-Place point X on the graph to indicate full employment, point Y to indicate economic growth and point Z to indicate a bad depression.

-The economy could reach point W if it

Which statement is true?

The four economic resources are: ____, , _ and ___.

The study of economics

We can increase our rate of economic growth by

We temporarily operated outside the production possibilities frontier for at least two years in which one of the following decades?

Which is the most accurate statement?

People are forced to economize because of

Hypothetical Production Schedule for a Two-Product Economy -In the table above, points A through F represent _______________________ of resources.

-What is the opportunity cost of going from point C to point D?

A Brief Economic History of the United States

The Mixed Economy

Supply and Demand

Demand, Supply, and Equilibrium

The Price Elasticities of Demand and Supply

Theory of Consumer Behavior

Cost

Profit, Loss, and Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

Corporate Mergers and Antitrust

Demand in the Factor Market

Labor Unions

Labor Markets and Wage Rates

Rent, Interest, and Profit

Income Distribution and Poverty

International Trade

International Finance

Filters

Exam 2: Resource Utilization

The economic problem refers to

-Point F

Our nation

To raise our rate of economic growth, we need more and better _______ as well as more and better _______.

Assuming that a society always operates on its production possibilities curve, an outward shift of the curve implies

If our nation's maximum possible output of any one good is produced, given the output of other goods, we have attained ___________.

During World War II, a nation's opportunity cost of devoting resources to the war effort was _____________.

All of the following statements are true about entrepreneurship except:

-Place point X on the graph to indicate full employment, point Y to indicate economic growth and point Z to indicate a bad depression.

-The economy could reach point W if it

Which statement is true?

The four economic resources are: __________, __________, ___________ and _________.

The study of economics

We can increase our rate of economic growth by

We temporarily operated outside the production possibilities frontier for at least two years in which one of the following decades?

Which is the most accurate statement?

People are forced to economize because of

Hypothetical Production Schedule for a Two-Product Economy -In the table above, points A through F represent _______________________ of resources.

-What is the opportunity cost of going from point C to point D?

A Brief Economic History of the United States

The Mixed Economy

Supply and Demand

Demand, Supply, and Equilibrium

The Price Elasticities of Demand and Supply

Theory of Consumer Behavior

Cost

Profit, Loss, and Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

Corporate Mergers and Antitrust

Demand in the Factor Market

Labor Unions

Labor Markets and Wage Rates

Rent, Interest, and Profit

Income Distribution and Poverty

International Trade

International Finance

Filters

To raise our rate of economic growth, we need more and better _ as well as more and better _.

The four economic resources are: ____, , _ and ___.