FLVS Economics Segment Exam A Study Guide 2022 with
complete solution
Which of the following best describes the concept of "equilibrium price"?
Both sellers and buyers are happy with the price and quantity.
United States paper money is backed by
public and government acceptance
You have to choose between playing a team sport or taking music lessons
because the practices overlap. This choice demonstrates that
time is scarce
An increase in the number of bakeries in an area would most likely cause what
change to the supply of baked goods?
Increase in the supply of baked goods
Sam works as a transcriptionist for $30,000 per year, and Janet works as a jet
propulsion specialist for $73,000 per year. Which of the following statements
could best explain the disparity in their incomes?
Janet's expertise is in low supply and high demand.
Kavan runs a small shoe company. He recently invested in a large supply of
purple clogs, which he sells for $80 a pair. One night, a popular comedy show
makes fun of people who wear purple clogs. How will this affect Kavan's clog
sales?
Demand for the clogs will decrease, and market price will decrease.
Rose decides she wants to begin her own business, marketing toward online
game players. Which of the following best answers the economic question What
to produce?
Paint Spacegame Online character portraits to sell on her website
Which situation illustrates the basic economic questions?
Your friend bakes cookies with ingredients specified by a recipe and sells them to
neighbors.
"Don't buy food with the ingredient MSG; it causes cancer in lab rats." This
advertisement targets your
fears
Which of the following is the most profitable investment for a cell phone company
earning $10 per plan contract?
Creating television commercial at $25 daily operating cost, generating 15 new plans per
day
Why might a neurosurgeon receive a higher wage than a nail technician?
There are fewer neurosurgeons than nail technicians.
Which economic advantages does the United States have compared to other
nations?
Expansive territory, fertile farmland
A popular toy, which is made in China and sold in the United States by a well-
known toy company, is found to have a toxic chemical in the paint. Why might it
be important to establish a trade barrier in this case?
To restore consumer confidence
, An indicator of steady economic growth is a
low inflation rate
Which of these results from inflation in the United States?
Investors buy products in other countries
In a market economy, who determines what to produce?
Individuals
Which of these sets of characteristics would most likely belong to a developed
country rather than a developing country?
Market economy; per capita income: $28,930; human development ranking: 8th
Keynes would most likely oppose a plan for
government control of all the manufacturing companies
With which of these statements would Adam Smith agree?
The people, not the government, can best determine the structure of the economy
Sofia, who lives in Chicago, knits and sells alpaca-wool scarves. She spends 15
hours knitting one scarf. Maria, who also knits, lives in Lima, Peru. She spends 12
hours knitting one scarf. Which of these statements is true?
Maria has an absolute advantage over Sofia
Which situation would cause an increase in the overall supply of books?
A decrease in the price of book-binding glue
Andy's two nephews want to travel to Philadelphia with him to see a show. Andy
has two free plane tickets and three tickets to the show. Which of the following
best describes the two plane tickets?
A scarce resource
When price increases, quantity supplied
increases
Which of the following best addresses the economic question How to produce?
Zara uses manufacturers in Turkey to make high-fashion clothing.
When "bell-bottom" pants became fashionable in the 1970s, the demand curve for
bell-bottoms
shifted to the right
Which scenario best demonstrates the function of money as a measure of value?
Sharad decides to offer his services as a typist. He asks for $3 per page. A new client
prefers to pay $2 per page. They settle on $2.50 per page.
A doctor at Boston University partnered with a professor at Northeastern
University to create a virtual support program for patients recently discharged
from the hospital. How would they answer the economic questions For whom to
produce? and What to produce?
Patients and a virtual support program
Your friend says your car is worth about 50 dollars. Your friend is using money as
a
measure of value
imothy, a cashier, is given a twenty-dollar bill at his store. He is suspicious of the
customer and wants to make sure the currency is real. Which would be a clue that
the currency is counterfeit?
There is no change in the color of the bill's ink.
An entrepreneur is best defined as a person who
complete solution
Which of the following best describes the concept of "equilibrium price"?
Both sellers and buyers are happy with the price and quantity.
United States paper money is backed by
public and government acceptance
You have to choose between playing a team sport or taking music lessons
because the practices overlap. This choice demonstrates that
time is scarce
An increase in the number of bakeries in an area would most likely cause what
change to the supply of baked goods?
Increase in the supply of baked goods
Sam works as a transcriptionist for $30,000 per year, and Janet works as a jet
propulsion specialist for $73,000 per year. Which of the following statements
could best explain the disparity in their incomes?
Janet's expertise is in low supply and high demand.
Kavan runs a small shoe company. He recently invested in a large supply of
purple clogs, which he sells for $80 a pair. One night, a popular comedy show
makes fun of people who wear purple clogs. How will this affect Kavan's clog
sales?
Demand for the clogs will decrease, and market price will decrease.
Rose decides she wants to begin her own business, marketing toward online
game players. Which of the following best answers the economic question What
to produce?
Paint Spacegame Online character portraits to sell on her website
Which situation illustrates the basic economic questions?
Your friend bakes cookies with ingredients specified by a recipe and sells them to
neighbors.
"Don't buy food with the ingredient MSG; it causes cancer in lab rats." This
advertisement targets your
fears
Which of the following is the most profitable investment for a cell phone company
earning $10 per plan contract?
Creating television commercial at $25 daily operating cost, generating 15 new plans per
day
Why might a neurosurgeon receive a higher wage than a nail technician?
There are fewer neurosurgeons than nail technicians.
Which economic advantages does the United States have compared to other
nations?
Expansive territory, fertile farmland
A popular toy, which is made in China and sold in the United States by a well-
known toy company, is found to have a toxic chemical in the paint. Why might it
be important to establish a trade barrier in this case?
To restore consumer confidence
, An indicator of steady economic growth is a
low inflation rate
Which of these results from inflation in the United States?
Investors buy products in other countries
In a market economy, who determines what to produce?
Individuals
Which of these sets of characteristics would most likely belong to a developed
country rather than a developing country?
Market economy; per capita income: $28,930; human development ranking: 8th
Keynes would most likely oppose a plan for
government control of all the manufacturing companies
With which of these statements would Adam Smith agree?
The people, not the government, can best determine the structure of the economy
Sofia, who lives in Chicago, knits and sells alpaca-wool scarves. She spends 15
hours knitting one scarf. Maria, who also knits, lives in Lima, Peru. She spends 12
hours knitting one scarf. Which of these statements is true?
Maria has an absolute advantage over Sofia
Which situation would cause an increase in the overall supply of books?
A decrease in the price of book-binding glue
Andy's two nephews want to travel to Philadelphia with him to see a show. Andy
has two free plane tickets and three tickets to the show. Which of the following
best describes the two plane tickets?
A scarce resource
When price increases, quantity supplied
increases
Which of the following best addresses the economic question How to produce?
Zara uses manufacturers in Turkey to make high-fashion clothing.
When "bell-bottom" pants became fashionable in the 1970s, the demand curve for
bell-bottoms
shifted to the right
Which scenario best demonstrates the function of money as a measure of value?
Sharad decides to offer his services as a typist. He asks for $3 per page. A new client
prefers to pay $2 per page. They settle on $2.50 per page.
A doctor at Boston University partnered with a professor at Northeastern
University to create a virtual support program for patients recently discharged
from the hospital. How would they answer the economic questions For whom to
produce? and What to produce?
Patients and a virtual support program
Your friend says your car is worth about 50 dollars. Your friend is using money as
a
measure of value
imothy, a cashier, is given a twenty-dollar bill at his store. He is suspicious of the
customer and wants to make sure the currency is real. Which would be a clue that
the currency is counterfeit?
There is no change in the color of the bill's ink.
An entrepreneur is best defined as a person who
