econ test 1

100%

Approximately what percentage of the world's economies experience scarcity? a. 25% b. 50% c. 75% d. 100%

the combined actions of millions of households and firms.

In most societies, resources are allocated by a. a single central planner. b. a small number of central planners. c. those firms that use resources to provide goods and services. d. the combined actions of millions of households and firms.

how society manages its scarce resources.

. Economics is the study of a. production methods. b. how society manages its scarce resources. c. how households decide who performs which tasks. d. the interaction of business and government.

resources are scarce.

The overriding reason as to why households and societies face many decisions is that a. resources are scarce. b. goods and services are not scarce. c. incomes fluctuate with business cycles. d. people, by nature, tend to disagree.

resources are limited.

The phenomenon of scarcity stems from the fact that a. most economies' production methods are not very good. b. in most economies, wealthy people consume disproportionate quantities of goods and services. c. governments restrict production of too many goods and services. d. resources are limited.

scarcity.

When a society cannot produce all the goods and services people wish to have, it is said that the economy is experiencing a. scarcity. b. surpluses. c. inefficiencies. d. inequalities.

All of the above are correct.

Which of the following products would be considered scarce? a. golf clubs b. Picasso paintings c. apples d. All of the above are correct.

economics deals primarily with the concept of a. scarcity. b. money. c. poverty. d. banking.

a

resources are a. scarce for households but plentiful for economies. b. plentiful for households but scarce for economies. c. scarce for households and scarce for economies. d. plentiful for households and plentiful for economies.

c

in considering how to allocate its scarce resources among its various members, a household considers a. each member's abilities. b. each member's efforts. c. each member's desires. d. all of the above

d