#1
Which of the following is a fundamental principle of economics?
Scarcity
ExplanationResources are limited, but human wants are unlimited.
#2
What does 'GDP' stand for in economics?
Gross Domestic Product
ExplanationTotal value of goods and services produced within a country's borders in a specific time period.
#3
According to the concept of supply and demand, what happens to price when demand increases and supply remains constant?
Price increases
ExplanationDue to increased demand and constant supply, scarcity drives prices higher.
#4
Which ethical theory suggests that actions should be judged by their consequences?
Utilitarianism
ExplanationActions are morally right if they result in the greatest good for the greatest number.
#5
What is 'corporate social responsibility' (CSR) in business ethics?
The obligation of businesses to act in the best interest of society
ExplanationBusinesses should consider the impact of their actions on society, not just profit.
#6
Which of the following is NOT a characteristic of monopolistic competition?
Price taker
ExplanationIn monopolistic competition, firms have some control over price due to product differentiation.