Quiz Chapter One
1. Economics is primarily the study of
how limited resources are allocated to satisfy unlimited wants.
2. Which of the following goods would be considered scarce?
iPods, crude oil and tax preparation services
occurs if there are insufficient resources to provide for all human wants.
4. The fundamental economic problem is
5. Which of the following is an example of an individual motivated by self-interest?
A student volunteering at
a soup kitchen, an attorney providing free legal services to low income families, a young person
volunteering for the Peace Corps, and a man buying a new Camaro.
6. Which of the following statements are true?
As a result of scarcity, individuals must make choices and
It’s impossible to satisfy unlimited human wants with limited resources.
7. Scarcity will always be a problem there will never be enough resources to satisfy all human wants.
pricing system is necessary to allocate those resources.