Economics Chapter 2 Review Quiz
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Questions and Answers

What is a key factor to consider when comparing rural and urban economies?

  • Water productivity
  • Record of preserving biodiversity (correct)
  • Dependency on fossil fuels
  • Climate change/Greenhouse gas emissions
  • Which economic factor is crucial for assessing the role of government in health care, education, and social welfare?

  • Provision of public services
  • Percentage of GDP spent by the government (correct)
  • Environmental Performance Index
  • Index of Economic Freedom
  • When comparing rural and urban economies, which factor contributes significantly to environmental sustainability?

  • Water productivity (correct)
  • Role of Government in health care
  • Employment rate
  • Income distribution
  • What is a common metric used to assess the distribution of income in different economies?

    <p>Economic system</p> Signup and view all the answers

    In evaluating environmental sustainability, which factor is directly linked to the role of government in public services provision?

    <p>Provision of public services</p> Signup and view all the answers

    What is the main economic factor underlying individuals' choices related to retirement?

    <p>Resource use</p> Signup and view all the answers

    Which economic factor influences businesses' choices on 'What to produce?' and 'How to produce?'

    <p>Industrial relations</p> Signup and view all the answers

    In the context of government choices, what economic factor is related to 'Influencing the behavior of individuals'?

    <p>Resource use</p> Signup and view all the answers

    'What wages to pay?' in the context of businesses' choices is primarily influenced by which economic factor?

    <p>Industrial relations</p> Signup and view all the answers

    'Identify 2 activities the government may wish to discourage' falls under which economic factor?

    <p>Resource use</p> Signup and view all the answers

    In a mixed economy, decisions regarding production and distribution are made by:

    <p>Market forces and government decisions</p> Signup and view all the answers

    Which of the following is a key focus area when examining the similarities and differences between economies?

    <p>Distribution of income</p> Signup and view all the answers

    What is a primary reason for government intervention in the allocation of resources in a market economy?

    <p>To provide goods and services that might not otherwise be provided</p> Signup and view all the answers

    Which aspect can be influenced by government intervention in the distribution of income in an economy?

    <p>Social welfare payments</p> Signup and view all the answers

    Environmental sustainability is a key consideration when comparing economies because:

    <p>It ensures long-term resource availability and quality of life</p> Signup and view all the answers

    Which factor plays a significant role in determining the quality of life within an economy?

    <p>Employment opportunities</p> Signup and view all the answers

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