Exam 1: The Foundations of Business

Lagging economic indicators report the status of the economy for periods of a _____ in the past.

In theory, a _____ economy is one in which the government owns all or most enterprises.

All of the following are macroeconomic concerns except (select one):

Soup, Salad, & Sandwich is a regional chain of restaurants in the northeast that provides dine-in, carry-out, and catering services. Owners Jesse and Mataya Peña currently operate six locations and are in the process of opening a new restaurant in another state. Their operation is quite successful and appeals to health-conscious consumers, busy moms, and executives in a hurry. Staying open longer hours, enlarging the menu, and expanding the scope of the business are among the many goals set by the Peñas. They want to follow a traditional business model in reaching their goals. -Because the Peñas are following a traditional business model, they will engage which of the following functional areas

If the Fed believes that inflation is a problem, it will (select one):

How do economists study the interactions between households and businesses?

Explain how demand functions in a free market system.

What does perfect competition mean?

Which of the following question(s) does an economist attempt to answer

Polaroid is a classic example of a firm that enjoyed a patent-based _____ for years in instant-film technology.

To assess whether inflation is going up or going down, economists look at changes in (select one):

During periods of _____ money, interest rates are down, it's cheaper to borrow money, and banks are more willing to make loans.

Weight Off, a local weight-loss clinic, maintains a clientele of more than 200 busy executives who travel frequently and need specialized diet and exercise regimes. The activities needed to operate this business include all of the following except _____.

_____ allocates the goods and services produced by government-run industries and tries to ensure that the resulting wealth is distributed equally.

Soup, Salad, & Sandwich is a regional chain of restaurants in the northeast that provides dine-in, carry-out, and catering services. Owners Jesse and Mataya Peña currently operate six locations and are in the process of opening a new restaurant in another state. Their operation is quite successful and appeals to health-conscious consumers, busy moms, and executives in a hurry. Staying open longer hours, enlarging the menu, and expanding the scope of the business are among the many goals set by the Peñas. They want to follow a traditional business model in reaching their goals. -Soup, Salad, & Sandwich features all of the traditional business participants except _____.

Published by a private research firm called the Conference Board, the _____ is a measure that combines all useful economic indicators.

What is the consumer confidence index?

Generally speaking, workers in socialist economies (such as those of France and Sweden) work _____ hours and have _____ vacations.

A business is any activity that provides goods or services to consumers for the purpose of making a profit.

When the Fed believes that inflation is a problem, it will use _____ policy to decrease the money supply and raise interest rates.