Chapter 1:
What Is Economics?
1.
The fundamental economic problem is ____________ .
a.
opportunity cost
b.
scarcity
c.
tinstaafl
d.
entrepreneurship
2.
The three basic economic questions everyone must answer are ___________________.
a.
WHEN to produce, WHAT to produce, WHERE to produce
b.
HOW much money to make, HOW to produce, WHERE to sell
c.
WHAT to produce, HOW to produce, FOR WHOM to produce
d.
HOW to produce, HOW MUCH to produce, WHERE to sell
3.
The economic concept of __________ is the sum of those economic products that are tangible, scarce, useful, and transferable from one person to another.
a.
value
b.
utility
c.
scarcity
d.
wealth
4.
The __________, a location or other mechanism that allows buyers and sellers to exchange a certain economic product, is the key feature of the circular flow of economic activity.
a.
tradeoff
b.
market
c.
producer
d.
economy
5.
Opportunity cost is the __________.
a.
tools, equipment, and factories used in the production of goods and services
b.
condition that arises because society does not have enough resources to produce all the things people would like to have
c.
various combinations of goods and/or services an economy can produce when all productive resources are fully employed
d.
cost of the next best alternative use of money, time, or resources when one choice is made rather than another
6.
A diagram representing various combinations of goods and/or services an economy can produce when all productive resources are fully employed is the __________ .
a.
decision making grid
b.
free enterprise frontier
c.
cost-benefit analysis
d.
production possibilities frontier
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Unit 1
Unit 2
Unit 3
Unit 4
Unit 5
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 5
Chapter 6
Chapter 7
Chapter 8
Chapter 9
Chapter 10
Chapter 11
Chapter 12
Chapter 13
Chapter 14
Chapter 15
Chapter 16
Chapter 17
Chapter 18
Chapter 19
Chapter 20
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• Texas Economy
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• Texas Economy
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