Question 1

MATCHING
Complete the following using the terms listed.
-_____ is a market structure in which large number of buyers and sellers exchange homogenous products and no single participant has a significant influence on price.

Accepted Answer

Pure competition is a market structure in which there are many buyers and sellers who trade homogeneous products, resulting in no one participant having a significant influence on price.

Question 2

MATCHING
Complete the following using the terms listed.
-The use of government tax and spending policies to bring about desired changes in the economy is called _____.

Accepted Answer

Fiscal policy refers to the use of government tax and spending policies to influence and direct the economy.

Question 3

What is economics? Why is understanding economics important in one's life?

Accepted Answer

Economics is a social science that analyzes the choices made by individuals and organizations in allocating scarce resources. It affects each of us because everyone is involved in producing, distributing, or simply consuming goods and services. In fact, your life is affected by economics every day. Understanding how the activities of one industry affect those of other industries, and how they relate in the overall economic status of a country, is an important part of understanding economics.
Businesses and not-for-profit organizations also make economic decisions when they choose how to use human and natural resources; invest in equipment, machinery, and buildings; and form partnerships with other firms.

Question 4

MATCHING
Complete the following using the terms listed.
-A(n) _____ is a market structure characterized by relatively few sellers and barriers to entry resulting from high start-up costs.

Accepted Answer

Oligopoly is the market structure characterized by relatively few sellers and barriers to entry resulting from high start-up costs.

Question 5

MATCHING
Complete the following using the terms listed.
-Attempting to bring about changes in economic activity through changes in the size of the nation's money supply is called _____.

Accepted Answer

Attempting to bring about changes in economic activity through changes in the size of the nation's money supply is known as monetary policy.

Question 6

Describe what drives demand.

Accepted Answer

The answer of Describe what drives demand....

Question 7

MATCHING
Complete the following using the terms listed.
-_____ measures the monthly average change in prices of goods and services.

Accepted Answer

The Consumer Price Index (CPI) measures the monthly average change in prices of goods and services.

Question 8

MATCHING
Complete the following using the terms listed.
-_____ refers to the willingness and ability of buyers to purchase goods and services at different prices.

Accepted Answer

The term referring to the willingness and ability of buyers to purchase goods and services at different prices is demand.

Question 9

MATCHING
Complete the following using the terms listed.
-In a(n) _____, a single seller dominates trade in a product for which buyers can find no close substitutes.

Accepted Answer

A monopoly is a market structure in which a single seller dominates trade in a product for which buyers can find no close substitutes.

Question 10

MATCHING
Complete the following using the terms listed.
-_____ is the sum of all goods and services produced within a country's borders.

Accepted Answer

Gross domestic product (GDP) is the sum of all goods and services produced within a country's borders.

Question 11

List the factors that should cause a demand curve to shift to the right.

Accepted Answer

The answer of List the factors that should cause a...

Question 12

List the factors that should cause a supply curve to shift to the left.

Accepted Answer

The answer of List the factors that should cause a...

Question 13

MATCHING
Complete the following using the terms listed.
-The point where the supply and demand curves intersect is the _____.

Accepted Answer

The point where the supply and demand curves intersect is called the equilibrium price, which is where the quantity supplied equals the quantity demanded.

Question 14

MATCHING
Complete the following using the terms listed.
-During a(n) _____, consumers frequently postpone major purchases and shift buying patterns toward basic, functional products carrying low prices.

Accepted Answer

A recession is a period of economic decline characterized by a decrease in GDP, a drop in demand, and typically, a rise in unemployment. During a recession, consumers tend to delay making major purchases and opt for less expensive, basic products.

Question 15

MATCHING
Complete the following using the terms listed.
-_____ is an economic situation characterized by price increases that reduce the amount of goods and services people can purchase with a given amount of money.

Accepted Answer

Inflation is the economic situation characterized by price increases that reduce the amount of goods and services people can purchase with a given amount of money.

Question 16

MATCHING
Complete the following using the terms listed.
-The amount of goods and services for sale at different prices is known as _____.

Accepted Answer

The amount of goods and services for sale at different prices is known as supply.

Question 17

MATCHING
Complete the following using the terms listed.
-_____ is the relationship between the goods and services produced in a nation each year and the inputs needed to produce them.

Accepted Answer

The answer of MATCHING
Complete the following using the terms listed.
-_____...

Question 18

MATCHING
Complete the following using the terms listed.
-If the government spends more than the amount of money it raises through taxes, then a(n) _____ occurs.

Accepted Answer

A budget deficit occurs when the government spends more money than it raises through taxes.

Question 19

Differentiate between macroeconomics and microeconomics. What types of economic activities might be included in each category?

Accepted Answer

The answer of Differentiate between macroeconomics and microeconomics. What types...

Question 20

MATCHING
Complete the following using the terms listed.
-The study of small economic units, such as individual consumers, families, and businesses, is called _____.

Accepted Answer

Microeconomics is the study of small economic units such as individual consumers, families, and businesses.

Quiz 3: Economic Challenges Facing Contemporary Business

MATCHING Complete the following using the terms listed. -_____ is a market structure in which large number of buyers and sellers exchange homogenous products and no single participant has a significant influence on price.

MATCHING Complete the following using the terms listed. -The use of government tax and spending policies to bring about desired changes in the economy is called _____.

What is economics? Why is understanding economics important in one's life?

MATCHING Complete the following using the terms listed. -A(n) _____ is a market structure characterized by relatively few sellers and barriers to entry resulting from high start-up costs.

MATCHING Complete the following using the terms listed. -Attempting to bring about changes in economic activity through changes in the size of the nation's money supply is called _____.

Describe what drives demand.

MATCHING Complete the following using the terms listed. -_____ measures the monthly average change in prices of goods and services.

MATCHING Complete the following using the terms listed. -_____ refers to the willingness and ability of buyers to purchase goods and services at different prices.

MATCHING Complete the following using the terms listed. -In a(n) _____, a single seller dominates trade in a product for which buyers can find no close substitutes.

MATCHING Complete the following using the terms listed. -_____ is the sum of all goods and services produced within a country's borders.

List the factors that should cause a demand curve to shift to the right.

List the factors that should cause a supply curve to shift to the left.

MATCHING Complete the following using the terms listed. -The point where the supply and demand curves intersect is the _____.

MATCHING Complete the following using the terms listed. -During a(n) _____, consumers frequently postpone major purchases and shift buying patterns toward basic, functional products carrying low prices.

MATCHING Complete the following using the terms listed. -_____ is an economic situation characterized by price increases that reduce the amount of goods and services people can purchase with a given amount of money.

MATCHING Complete the following using the terms listed. -The amount of goods and services for sale at different prices is known as _____.

MATCHING Complete the following using the terms listed. -_____ is the relationship between the goods and services produced in a nation each year and the inputs needed to produce them.

MATCHING Complete the following using the terms listed. -If the government spends more than the amount of money it raises through taxes, then a(n) _____ occurs.

Differentiate between macroeconomics and microeconomics. What types of economic activities might be included in each category?

MATCHING Complete the following using the terms listed. -The study of small economic units, such as individual consumers, families, and businesses, is called _____.