#1
According to the law of demand, what happens to the quantity demanded when the price of a good decreases?
Increases
Decreases
Remains constant
No effect
#2
Which economic concept refers to the total value of goods and services produced within a country's borders in a specific time period?
Gross National Product (GNP)
Gross Domestic Product (GDP)
Net National Product (NNP)
Net Domestic Product (NDP)
#3
Which economic concept suggests that as a person consumes more of a good, the additional satisfaction or utility decreases?
Law of Diminishing Marginal Utility
Law of Increasing Returns
Law of Supply
Law of Perfect Competition
#4
In international trade, what is the term for a situation where a country exports more goods than it imports?
Trade deficit
Trade surplus
Balance of payments
Foreign exchange reserve
#5
Which economic concept is described as the total market value of all final goods and services produced within a country in a specific time period?
Gross Domestic Product (GDP)
Net National Product (NNP)
Gross National Product (GNP)
Net Domestic Product (NDP)
#6
Which economic theory suggests that government intervention is necessary to achieve economic stability?
Classical economics
Keynesian economics
Monetarism
Supply-side economics
#7
What is the primary focus of the Laffer curve in economics?
Inflation control
Taxation and government revenue
Income distribution
International trade
#8
Which economic theory emphasizes the importance of individuals pursuing their self-interest in a competitive market to achieve overall economic well-being?
Marxian economics
Austrian economics
Behavioral economics
Neoclassical economics
#9
What is the Phillips Curve in economics primarily used to illustrate?
The relationship between inflation and unemployment
The impact of taxes on consumer behavior
The elasticity of demand for luxury goods
The effects of government subsidies on production
#10
According to the concept of the Circular Flow of Income, what represents the total income earned by households in an economy?
Gross Domestic Product (GDP)
Disposable income
National savings
Net exports
#11
In economics, what does the term 'opportunity cost' represent?
The cost of goods and services
The cost of production
The cost of forgoing the next best alternative
The cost of inflation
#12
In international trade, what does the term 'comparative advantage' refer to?
The ability to produce a good at the lowest opportunity cost
The absolute advantage in production
The ability to sell goods at a higher price
The protection of domestic industries through tariffs
#13
What is the Tragedy of the Commons in economics?
A market failure resulting from externalities
Overuse and depletion of shared resources due to self-interest
The impact of inflation on fixed incomes
The failure of planned economies
#14
In monetary policy, what does the term 'quantitative easing' refer to?
Reducing interest rates to stimulate borrowing
Increasing the money supply through asset purchases
Implementing strict capital controls
Adjusting reserve requirements for banks
#15
Which economic theory argues for the elimination of private property and the establishment of a classless society?
Keynesian economics
Supply-side economics
Marxian economics
Austrian economics