EC-006 Pretest

Which of the following factors has an influence on the monetary value of resources:

Productivity

Which of the following is an economic activity:

Purchasing a candy bar

Justin is trying to decide whether he wants to spend a $50 birthday check on a new DVD player or tickets to a concert. If he chooses the DVD player, what is the opportunity cost of this decision?

concert tickets

The desire for an item that has monetary value is a(n) _________ want.

economic

The study of how to meet unlimited wants with limited resources is

economics

Making the best use of limited economic resources is called

economizing

Economics involves decision making because most individuals must determine

how to get the most with the least

When a choice is made about the best use of resources, the alternative that is given up is called the __________ of that choice.

opportunity cost

Limited resources are those that are

scarce

The gap between unlimited desires for products and limited resources is known as

scarcity