#1
What does GDP stand for?
General Domestic Product
Gross Domestic Product
Government Development Program
Gross Developmental Product
#2
Which of the following is not a factor of production?
#3
What is the term for the percentage of the labor force that is unemployed?
Labor participation rate
Unemployment rate
Employment-to-population ratio
Labor force growth rate
#4
What is the term for a situation where the government spends more money than it receives in revenue?
Budget surplus
Budget deficit
National debt
Trade deficit
#5
What is the term for a sustained increase in the general price level of goods and services in an economy over a period of time?
Deflation
Stagflation
Hyperinflation
Inflation
#6
What is the opportunity cost of a decision?
The explicit monetary cost
The total resources used
The value of the next best alternative foregone
The profit gained from the decision
#7
What is the term for a situation where the market price is higher than the equilibrium price?
Surplus
Equilibrium
Shortage
Subsidy
#8
Which economic concept suggests that as the price of a good increases, the quantity demanded decreases, and vice versa?
Law of Diminishing Marginal Utility
Law of Supply
Price Elasticity of Demand
Law of Demand
#9
What is the formula to calculate price elasticity of demand?
Percentage change in quantity demanded / Percentage change in price
Percentage change in price / Percentage change in quantity demanded
Absolute change in quantity demanded / Absolute change in price
Absolute change in price / Absolute change in quantity demanded
#10
What is the primary goal of monetary policy?
To regulate government spending
To control inflation and stabilize prices
To redistribute income and wealth
To encourage international trade
#11
Which market structure is characterized by a large number of firms selling differentiated products?
Perfect competition
Monopoly
Monopolistic competition
Oligopoly
#12
What is fiscal policy?
The use of government spending and taxation to influence the economy
The regulation of the money supply by the central bank
The manipulation of interest rates to control inflation
The control of imports and exports through tariffs and quotas
#13
What does the term 'Ceteris Paribus' mean in economics?
All things being equal
Change is constant
Supply and demand
Consumer equilibrium
#14
What does the term 'invisible hand' refer to in economics?
The automatic self-regulation of the market
Government intervention in the economy
The role of consumers in determining prices
The influence of advertising on consumer behavior