econ module 15 (in order)

In the video about entrepreneurship, why was the owner of Clean & Mean able to craft her work schedule in a way that allowed her to go to the mall with her mom on Friday mornings?

Because of the level of independence offered by entrepreneurship.

Which of the following are disadvantages of franchises? (choose all that apply)

Owners have limited control over their business. Owners have to pay an expensive franchise fee.

____________ occurs when a nation focuses its resources on producing goods that it expects to trade.

Specialization

Which of the following are disadvantages of corporations? (choose all that apply)

Their owners are subjected to double taxation. They are more complicated and expensive to establish than other business structures.

Which of the following are advantages of sole proprietorships? (choose all that apply)

Their owners have total control over their business. They are generally easy and inexpensive to start. Their owners get to keep all the profits for themselves.

Which of the following are advantages of partnerships? (choose all that apply)

They are generally easy and inexpensive to start. Their owners don't have to pay any special business taxes. Their owners can share responsibilities based on their different skills.

Why do politicians often establish trade barriers even though the barriers usually do more harm than good?

They are incentivized to create policies that disperse costs over a large number of people but benefit small, powerful groups.

If Country A can produce wheat at a lower cost than Country B, then Country A has a(n) ____________ advantage in wheat production.

absolute

Entrepreneurs develop new products and start new businesses by ________________.

bringing natural, human, and capital resources together

A business that's owned and controlled by the members who use its products is called a _____________.

cooperative

Which of the following is an example of a cooperative?

credit union

When a nation imports more goods than it exports, it has a trade ________.

deficit

Foreign goods are goods that were made in other countries, and _________ goods are goods that were made in your own country.

domestic

Trade barriers are harmful to which of the following groups? (choose all that apply)

domestic consumers foreign producers in the affected industries

Which of the following is a trade barrier that forbids buying and selling a certain good with a certain country?

embargo

Which of the following are true about the impact of entrepreneurship on society? (choose all that apply)

entrepreneurship leads to higher quality goods entrepreneurship increases competition

Which of the following are ways that entrepreneurs benefit society? (choose all that apply)

fostering technological advancements improving existing products generating economic growth developing new products

A business owned by an entrepreneur that is licensed to sell products under the name of a larger corporation is called a ____________.

franchise

Which of the following are challenges for entrepreneurs? (choose all that apply)

high levels of stress high financial commitment high time commitment

Foreign products bought from sellers in other nations are called ________.

imports

Which of the following are effects of the expansion of trade? (choose all that apply)

increases competition, which lowers prices and improves quality increases the variety of products available for consumers to purchase

In the United States, one in five small businesses fail within the first year. How many fail within the first five years?

one in two

One incentive for entrepreneurs is the ability to pursue their _________.

passions

Which of the following are incentives for entrepreneurs? (choose all that apply)

profit helping others

A limit on the quantity of a product that's allowed into a nation is called a(n) _______.

quota

What is the chief consequence of trade barriers?

reduced competition

An individual who owns stock in a corporation is called a ____________.

shareholder

A business with one owner is called a ________________.

sole proprietorship

When a country determines its areas of comparative advantage and specialization, it puts itself in a position to ____________ through trade with other countries.

strengthen its economy

When a nation exports more goods than it imports, it has a trade ________.

surplus

Which of the following is the most common trade barrier?

tariff

What is one key element that encourages people to trade?

the ability to buy a particular good from someone else cheaper than it costs to make it yourself

What happens when all nations specialize in the areas in which they have comparative advantages? (choose all that apply)

the global standard of living increases total world production increases

Which of the following are reasons that trade barriers are established? (choose all that apply)

to strengthen national defense to protect domestic industries that would be hurt by free trade to apply diplomatic pressure to a foreign government

When we make a voluntary trade, we are exchanging one item for another because __________________.

we value the item acquired more than what we're giving up

When do entrepreneurs earn a profit?

when they're able to sell their goods for more money than it cost them to produce those goods