EOC Survivor

Season 3Chapters 18-26

Question 1

What is the desire to make money called? (Profit incentive or

profit motive)

Question 2What is a trade deficit? (Where a country imports

more than it exports.)

Question 3

What is monetary policy?

(Controlling the economy through the money supply)

Question 4

What are 2 places you can go to get a loan?

(Commercial banks, S&Ls, finance stores,

and Credit Unions)

Question 5What are the 3 basic

economic questions that all societies must answer?

(What to produce, how much to produce, for whom to produce?)

Question 6What condition exists when a single seller controls an entire market?

(A monopoly)

Question 7

What are tariffs? (Taxes on imports)

Question 8What is a business with a single owner called?

(A Sole Proprietorship)

Question 9

These are Physical resources needed to make goods and services.

(Capital)

Question 10

What are two other names for a market economy?(Capitalism and Free

Enterprise system)

Question 11

Give an example of a government-run monopoly.

(Post Office, electric co., cable co., etc.)

Question 12

What is a trade surplus?

(When a country exports more than it

imports)

Question 13

What word means that our country is reliant upon other nations through trade?

(Interdependence)

Question 14What type of tax is the

largest source of revenue for the federal government?

(Individual income taxes)

Question 15

What is the choice given up in a trade-off called?

(Opportunity Cost)

Question 16

What is the largest expenditure for the federal government?

(Entitlements or payments to individuals)

Question 17

This is the basic problem of economics that results in trade-offs.

(Scarcity)

Question 18

Who is the father of socialism and communism?

(Karl Marx)

Question 19

This is any work purchased for a fee.

(Service)

Question 20

Who is the father of capitalism?

(Adam Smith)

Question 21

This word means a rivalry of sellers so that no one producer can control the market.

(Competition)

Question 22

This is any tangible item purchased for a fee.

(Good)

Question 23

Which type of economic system is also called a command economy?

(Communism)

Question 24

These are Natural resources needed to make goods and services.

(Land)

Question 25

This is the total dollar value of all final goods produced in a country in a year.

(GDP)

Question 26

This is the lowest point in the business cycle.

(A trough)

Question 27

This is what backs the US currency.

(Confidence)

Question 28

What term describes when demand exceeds supply and a rise in price results?

(Shortage)

Question 29

How do corporations easily raise revenue?

(Issue more shares of stock)

Question 30

What term describes when supply exceeds demand and a drop in price results?

(Surplus)

Question 31What term refers to the amount charged where supply and demand intersect?

(Equilibrium or Market Price)

Question 32

Which type of economic system is also called a market economy?

(Capitalism)

Question 33

Who controls monetary policy in the US?

(The Federal Reserve)

Question 34

Which type of economic system is also called a mixed economy as a blend of communism & capitalism?

(Socialism)

Question 35

What 3 benefits does competition bring to consumers?

(Lower prices, better quality, more selection)

Question 36

What government agency oversees the Clean Air Act & the Clean Water Act?

(The EPA)

Question 37

Name 2 Communist countries today.

(North Korea, Cuba, Vietnam, & China)

Question 38What do you call the resources needed to produce goods and services? (Factors of production)

Question 39What is the study of how people satisfy unlimited wants and needs with what they have available?

(Economics)

Question 40

This is the idea that as prices increase the amount people want decreases.

(Law of Demand)

Question 41What is a trade quota?

(A limit on how many items can be imported)

Question 42

Which of the factors of production can a business do without?

(None of them)

Question 43What are two average fixed costs that most businesses have?

(rent/mortgage, utilities, wages, etc.)

Question 44

What is a business owned by 2 or more individuals for their own profit called?

(A Partnership)

Question 45

This is the idea that as prices increase the amount producers sell increases.

(Law of Supply)

Question 46These are entrepreneurial

resources needed to make goods and services.

(Management)

Question 47What is a person who takes a risk to offer or make a new good or service called?

(Entrepreneur)

Question 48

These are Human resources needed to make goods and services.

(Labor)

Question 49

A business that is treated like an individual under the law is what type of business?

(A Corporation)

Question 50

When does the fiscal year begin for the federal government?

(October 1)

Question 51

What is a comparative advantage that Saudi Arabia has over the US?

(They can produce oil much more cheaply than

we can)

Question 52

What agency recalls dangerous products?

(Consumer Product Safety Commission)

Question 53Why is Free Enterprise System

a good name for the US economy?

(Because individuals start and patronize businesses with

little government interference)

Question 54

How does an auction illustrate the law of demand?

(At low prices there are many bidders, but as the price rises that # drops)