Quiz 1 Unit 1
Which of the following scenarios is NOT based on economic perspective?
A young man bought an old car without giving much thought to the costs associated with needing to fix the vehicle.
In 1962, President John F. Kennedy made a speech where he spelled out the rights that a consumer has when purchasing something. Which one of these rights was NOT included in Mr. Kennedy's speech?
right to redress
The things you miss out on when you decide to spend your money on something else refers to _______.
opportunity cost
Which of the following scenarios best explains scarcity?
A man has $20 but wants to take his girlfriend to a fancy steak restaurant where he will need $70.
What country owns a large portion of U.S. debt?
China
Which government agency deals most directly with consumers and their rights and protection?
Federal Trade Commission
What country's collapse greatly altered U.S. military spending?
Russia
Which of the following are major economic issues that affect our lives today? Select all that apply.
Social security Healthcare Government regulation Unemployment Military spending
Credit refers to ________________.
a consumer's record of going into and getting out of debt in a faithful and punctual way
What segment of U.S. society represents a threat to the social security system?
baby boom generation
Consumers have the biggest responsibility to _____________.
educate themselves about the products they are interested in, including the benefits and potential costs or problems
What is the purpose of interest?
for the lender to make money in exchange for giving money to those who need it
What aspect of government spending recently increased greatly in the spring of 2010?
healthcare spending
To purchase a ____________, one must have good credit.
house
What portion of U.S. spending made up the largest percentage of the 2010 budget?
military spending
When a shopper makes a rational choice, he or she ______________.
picks the item that represents the greatest