24 Questions
Which of the following best describes the economy?
The sum total of all economic activity within a given region
What is the main focus of microeconomics?
The study of economic behavior among consumers, businesses, and industries
What is the main focus of macroeconomics?
The study of a country's larger economic issues
Which economic system allows individuals and companies to largely decide what products to produce, how to produce them, who to sell to, and at what price to sell them?
Free-market system
What is capitalism based on?
Economic freedom and competition
Which economic system allows governments to control the allocation of resources and limit freedom of choice?
Planned system
What is the study of how society uses its scarce resources to produce and distribute goods and services?
Microeconomics
What are the two main areas of study in economics?
Microeconomics and macroeconomics
What do we call the rules and policies by which a society allocates its economic resources?
Economic system
What are planned systems designed to accomplish?
Government goals
Which economic system is characterized by public ownership and operation of key industries combined with private ownership and operation of less-vital industries?
Socialism
What does 'nationalizing' refer to?
The government taking over selected companies or industries
What does 'privatizing' refer to?
Turning over services once performed by the government to private businesses
What is the point of intersection between supply and demand on a graph called?
Equilibrium point
What is the economic phase characterized by the decline in a country's GDP for two consecutive quarters?
Recession
Which macroeconomic indicator indicates the percentage of the workforce currently without employment?
Unemployment rate
What does 'inflation' refer to?
The steady increase in prices of goods and services
What does 'deflation' refer to?
The steady decrease in prices of goods and services
What does 'CPI' stand for?
Consumer price index
What does 'GDP' stand for?
Gross domestic product
Which market structure is characterized by numerous sellers offering products that can be distinguished from competing products in at least some small way?
Monopolistic competition
Which market structure is characterized by one supplier dominating the market and controlling prices, shutting out other competitors?
Monopoly
Which market structure is characterized by a situation where two or more suppliers of a product are rivals?
Competition
Which market structure is characterized by a small number of competitors and customers having some choice?
Oligopoly
Test your knowledge on the fundamentals of economics and its various branches, including microeconomics. Gain a deeper understanding of how societies utilize limited resources to produce and distribute goods and services.
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