eco unit 3 quiz 1

To maintain effective levels of competition in as many markets as possible, the government enforces

antitrust laws

Your friend bought a new pair of jeans. The pair of jeans _____ as demand for your friend.

counts

You like the latest laptop, but you cannot afford it. The new laptop _____ as demand for you.

does not count

Shoe for All Company was a monopoly. But then competition was allowed to enter its market. As a result of this competition, the prices at Shoe for All Company were likely to:

drop

In two to three sentences, describe how antitrust laws encourage competition.

ess

The price of gas increased, which means _____ people will buy gas in the future.

fewer

If the government buys new firetrucks, the government is participating in which market?

firms

The price of a popular cereal was just reduced. This will most likely _____ the demand for the cereal.

increase

At the highest price, you would expect the demand for goods and services to be the _____.

least

A legal obligation that involves repaying a debt is called a _____.

liability

A is a company that owns most of its market share and can set its own price.

monopoly

Select the sources of tax revenue for federal, state, and local governments. Select all that apply.

personal income sales payroll education

The Federal Government is NOT responsible for which of the following?

renovating the Florida state house

Fiscal policy refers to changes in tax levels and government _____.

spending

Knowing that you are buying one pound of bread is part of _____.

standards for weights and measures

The two revenue sources for the government are _____ and _____.

taxes and borrowing