#1
Which economic principle states that individuals and firms make decisions based on maximizing their own self-interest?
Supply and demand
Opportunity cost
Invisible hand
Marginal utility
#2
In economics, what does GDP stand for?
Gross Domestic Product
General Demand and Production
Government Development Plan
Global Development Percentage
#3
In international trade, what does the acronym WTO stand for?
World Tourism Organization
World Trade Organization
World Technology Office
World Taxation Order
#4
What is the law of demand?
As price increases, quantity demanded decreases
As price increases, quantity demanded increases
As price decreases, quantity demanded increases
There is no relationship between price and quantity demanded
#5
Which economic system relies on the forces of supply and demand to allocate resources and determine prices?
Command economy
Mixed economy
Market economy
Traditional economy
#6
According to the law of demand, what happens to the quantity demanded when the price of a good decreases?
Increases
Decreases
Remains constant
Becomes elastic
#7
Which economic concept represents the additional satisfaction or utility derived from consuming one more unit of a good or service?
Diminishing returns
Opportunity cost
Marginal utility
Elasticity
#8
What is the term for a situation where the quantity demanded for a good is greater than the quantity supplied at a specific price?
Surplus
Shortage
Equilibrium
Monopoly
#9
What is the term for a tax that takes a larger percentage of income from high-income earners than from low-income earners?
Progressive tax
Flat tax
Regressive tax
Excise tax
#10
Which economic term refers to the total market value of all final goods and services produced within a country in a specific period?
Gross National Product
Net Domestic Product
Gross National Income
Gross Domestic Product
#11
What does the term 'invisible hand' refer to in economics?
Government intervention in the market
Unseen market forces guiding self-interest to promote the overall good
A type of trade barrier
A secret economic society
#12
Which economic concept describes the responsiveness of the quantity demanded of a good to a change in its price?
Elasticity
Inelasticity
Marginal cost
Fixed cost
#13
According to the theory of comparative advantage, what should nations specialize in?
Producing only what they can sell domestically
Producing what they can sell at the highest price
Producing what they can sell at the lowest cost
Producing only luxury goods
#14
What is the primary purpose of antitrust laws?
To promote monopolies
To regulate international trade
To prevent unfair business practices and promote competition
To control inflation
#15
What economic term refers to the total value of a nation's exports minus the total value of its imports?
Balance of payments
Trade deficit
Current account
Trade surplus
#16
According to the law of diminishing marginal returns, what happens as additional units of a variable input are added to a fixed input?
Total output increases at an increasing rate
Total output increases at a decreasing rate
Total output remains constant
Total output decreases
#17
What is the Phillips Curve in economics primarily used to analyze?
Interest rates
Inflation and unemployment
Government spending
Consumer spending
#18
What is the term for a situation where the production of one good requires a larger quantity of resources compared to another?
Absolute advantage
Comparative advantage
Production possibility frontier
Resource allocation discrepancy