Chapter 1 Quiz

Chapter 1 Quiz - Saul Jaramillo MBA 681 (Independent Study)...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Saul Jaramillo MBA 681 (Independent Study) Chapter 1, Practice Quiz 1. Economics is the study of choice under conditions of: Scarcity, it is a situation in which resources are limited in quantity and can be used in different ways. Economics is the study of choice under conditions of scarcity. 2. Which of the following terms would best describe the consequence of scarcity? Economists are always reminding us that there is scarcity that there are tradeoffs in everything we do. 3. The resources provided by nature and used to produce goods and services are also known as: Natural resources, which are resources provided by nature and include land, mineral deposits, oil and gas deposits and water. 4. Select the best answer. Which questions usually lie at the heart of policy debates? Normative economics (What ought to be?) 5. If the president of Colombia commented that "we should do something to reduce inflation in Colombia," this would be an example of: Normative Statement (contains the word “should” which implies a value judgment. 6. Economic decisions are made at every level in society. When we try to decide which production method to use among several alternatives, which of the key economic questions are we trying to answer? How do we produce the products? (Ex. Electricity company, use: coal, wind power, or natural gas to produce electricity.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

Chapter 1 Quiz - Saul Jaramillo MBA 681 (Independent Study)...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online