#1
Which of the following is NOT a factor of production?
#2
What does the term 'ceteris paribus' mean in economic analysis?
All else being equal
Change is constant
Supply and demand
Demand elasticity
#3
Which economic system relies on the forces of supply and demand with minimal government intervention?
Command economy
Market economy
Mixed economy
Traditional economy
#4
What is the term for a situation where the price of a good is higher than the equilibrium price, leading to excess supply?
Shortage
Surplus
Equilibrium
Market equilibrium
#5
In economics, what does the term 'public goods' refer to?
Goods provided by private businesses
Goods with rivalry and excludability
Goods provided by the government
Non-excludable and non-rivalrous goods
#6
Which economic concept represents the maximum combination of goods and services an economy can produce with its given resources?
Supply and demand
Opportunity cost
Production possibilities frontier
Market equilibrium
#7
In a production possibilities curve, a point inside the curve indicates that...
Resources are fully utilized
The economy is inefficient
The economy is producing beyond its capacity
Opportunity cost is zero
#8
Which of the following is an example of a positive economic statement?
The government should increase spending to boost the economy.
Unemployment rates should be reduced to 3%.
Everyone should pay higher taxes for social welfare.
Inflation is currently at 2%.
#9
Which economic concept refers to the additional cost of producing one more unit of a good or service?
Average cost
Opportunity cost
Marginal cost
Fixed cost
#10
What is the economic term for the total market value of all final goods and services produced within a country in a specific time period?
Net income
Gross National Product (GNP)
Gross Domestic Product (GDP)
National income
#11
What does the law of increasing opportunity cost state?
As production increases, opportunity cost decreases
Opportunity cost remains constant
As production increases, opportunity cost increases
Opportunity cost is irrelevant
#12
What is the term for the maximum output an economy can produce given its current level of technology and inputs?
Absolute advantage
Economic efficiency
Full employment
Potential output
#13
In economics, what is the formula for calculating GDP (Gross Domestic Product)?
GDP = Consumption + Investment + Government Spending + Net Exports
GDP = Consumption + Investment + Government Spending
GDP = Consumption + Investment
GDP = Consumption + Government Spending + Net Exports
#14
What is the primary function of the Federal Reserve in the United States?
Fiscal policy
Monetary policy
Trade regulation
Social security
#15
What is the term for a situation where a single buyer or seller controls the entire market for a product or service?
Oligopoly
Monopoly
Perfect competition
Monopsony