ECON 103 FINAL EXAM QUESTIONS & ANSWERS
Limited goods and services - Answers -Scarcity
This type of economics deals with judgments about what the economy should be like. -
Answers -Normative Economics
"To obtain more of one thing, we have to forgo the next best option" - Answers -
Opportunity Cost
This type of economics deals with facts and cause-and-effects - Answers -Positive
Economics
Characteristics of a market economy - Answers -- Self-interest
- Capitalism
- Private Property
Competitions requires what two things? - Answers -- Two or more buyers and sellers
- The freedom to enter or leave markets
Human-specialization is referred to as... - Answers -Division of Labor
Characteristics of a Command Economy - Answers -- Socialism
- Communism
- Government owned resources
A business owned and operated by a single individual is a... - Answers -Sole
Proprietorship
A business where two or more individuals who agree to own and operate together and
share all losses and profits is a(n) - Answers -Partnership
A business that is independent legal entity is a(n) - Answers -Corporation
A market where goods and services, produced by businesses, are bought and sold is
a(n) - Answers -Product Market
A market where households sell resources to businesses is called - Answers -
Resource Market
In the circular flow model, households ______ resources and ______ resources. -
Answers -Sell; buy
In the circular flow model, businesses ______ products and ______ resources. -
Answers -Sell; buy
Limited goods and services - Answers -Scarcity
This type of economics deals with judgments about what the economy should be like. -
Answers -Normative Economics
"To obtain more of one thing, we have to forgo the next best option" - Answers -
Opportunity Cost
This type of economics deals with facts and cause-and-effects - Answers -Positive
Economics
Characteristics of a market economy - Answers -- Self-interest
- Capitalism
- Private Property
Competitions requires what two things? - Answers -- Two or more buyers and sellers
- The freedom to enter or leave markets
Human-specialization is referred to as... - Answers -Division of Labor
Characteristics of a Command Economy - Answers -- Socialism
- Communism
- Government owned resources
A business owned and operated by a single individual is a... - Answers -Sole
Proprietorship
A business where two or more individuals who agree to own and operate together and
share all losses and profits is a(n) - Answers -Partnership
A business that is independent legal entity is a(n) - Answers -Corporation
A market where goods and services, produced by businesses, are bought and sold is
a(n) - Answers -Product Market
A market where households sell resources to businesses is called - Answers -
Resource Market
In the circular flow model, households ______ resources and ______ resources. -
Answers -Sell; buy
In the circular flow model, businesses ______ products and ______ resources. -
Answers -Sell; buy
