5.

Resources such as time money and energy or example of:

A. Natural resources

B. Unlimited resources

C. Limited resources

D. Limited wants

6. Anything that is useful to us is called :

A. Goods

B. Services

C. Resources

D. Scarcity.

7. What is the meaning of Okonomia?

A. Management economy that are composed of members of the family which has unlimited wants and
needs.

B. Management of an household that are composed of of the family which has limited wants and needs.

C. Management of households that are composed of family members that has their wants and needs

D. Management of economy that are composed of family members that has their wants and needs

8. Who was considered as the founder of economics?

A. Smith

B. Malthus

C. Marx

D. Keynes

9. What was the famous book of Karl Marx

B. Tableau economique

C. Daskapital

D. Principle of political economy

10. Who wrote an essay about the principle of population?

A. Smith

B. Malthus

C. Marx

D. Keynes

11. Who is the roots of macroeconomics?

A. Smith

B. Malthus

C. Marx

D. Keynes

12. The branch of economics that examines the functioning of individual industries and the behavior of
individual decision-making units, business firms and households.

A. Macroeconomics

B. Microeconomics

C. Law of demand

D. Law of supply

13. The branch of economics that examine the economic behavior of aggregate income, employment
and output on a national scale.
A. Macroeconomics

B. Microeconomics

C. Law of demand

D. Law of supply

14. A field of economics that examine the ways in which households and firms actually pay for or finance
their purchases.

A. Econometrics

B. Finance

C. Labor economics

D. Economic history

15. Field of economics that deals with the factors that determine wage rates, employment and
unemployment.

A. Econometrics

B. Finance

C. Labor economics

D. Economic history

16. This function of economics is responsible for tracing the development of the modern economy.

A. Econometrics

B. Finance

C. Labor economics

D. Economic history

17. Economics that seeks to understand behavior and operation system without making judgement.
A. Descriptive economics

B. Positive economics

C. Economic theory

D. Normative economics

18. Statement or set of related statements about cause and effect or action and reaction.

A. Descriptive economics

B. Positive economics

C. Economic theory

D. Normative economics

19. An approach to economics that analyzes outcomes of economic behavior.

A. Descriptive economics

B. Positive economics

C. Economic theory

D. Normative economics

20. The compilation of data that describe phenomena and facts.

A. Descriptive economics

B. Positive economics

C. Economic theory

D. Normative economics

21. An economic goals that the economy be able to avoid great fluctuations in the general level of
prices.

A. Economic growth
B. Economic freedom

C. Price level stability

D. Economic security

21. A high degree of freedom to choose what economic activity to undertake should be afforded the
various sector consisting of executive, workers and consumers.

A. Economic growth

B. Economic freedom

C. Price level stability

D. Economic security

22. People or group of people, whether private or public who transform resources into suitable products
or inputs.

A. Consumer

B. Producer

C. Entrepreneur

D. Human resources

23. Labor, skills and knowledge are examples of:

A. Consumer

B. Producer

C. Entrepreneur

D. Human resources

24. The central concern of any economy no matter how simple or complex is to transform resources into
useful form in accordance with those choices. This transformation is what we called:

A. Resources
B. Production

C. Entrepreneur

D. Capital

25. Is the name given to a person responsible for operating a firm and and making the decision about
what to do and how to do.

A. Resources

B. Production

C. Entrepreneur

D. Capital

26. Given the resources that are limited or scarce you need to choose the best choice to satisfy your
unlimited wants. This statement describe:

A. Scarcity and choice

B. Scarcity

C. Choice

D. Opportunity cost

27. Basic principle of economics that which we give up or for-go when we make a choice or decision.

A. Scarcity and choice

B. Scarcity

C. Choice

D. Opportunity cost

28. The advantage in the production of a product enjoyed by one country over another when the
product can be produced at lower cost in terms of other goods that it could be in the other country.

A. Absolute advantage
B. comparative advantage

C. PPF

D. CPF

29. The advantage in the production of a product enjoyed by one country over another when it uses
fewer resources to produce the product that the other country does.

A. Absolute advantage

B. comparative advantage

C. PPF

D. CPF

30. This system can be seen with the tension between the advantages of free, and unregulated markets
and the need for government involvement in the economy because free-market system are not perfect.

A. Command economy

B. Laissez-faire economy

C. Price theory

D. Mixed System

31. An economy in which individual people and firms pursue their own self interest without any central
direction or regulation.

A. Command economy

B. Laissez-faire economy

C. Price theory

D. Mixed System

32. An economy in which a central authority or agency draws up a plan that establishes what will be
produced and when.
A. Command economy

B. Laissez-faire economy

C. Price theory

D. Mixed System

33. The institution through which buyers and sellers interact and engage in exchange.

A. Price

B. Income

C. Market

D. Wealth

34. The amount that household earns each year. It comes in a number of forms such as wages, salaries,
interest, and the like.

A. Price

B. Income

C. Market

D. Wealth

35. Is the amount that the product sells for per unit. It reflects what society is willing to pay

A. Price

B. Income

C. Market

D. Wealth

36. Is the amount households have accumulated out of past income through saving or inheritance.

A. Price
B. Income

C. Market

D. Wealth

37. "Allow(them) to do" is definition that describes:

A. Communist manifesto

B. Laissez-faire

C. Communism

D. Capitalism

38. Common ownership of the means of the production is a statement of Karl Marx which mean :

A. Communist manifesto

B. Laissez-faire

C. Communism

D. Capitalism

39. What is the other word use for central planned economy?

A. Communist manifesto

B. Laissez-faire

C. Communism

D. Capitalism

40. Economic system which individual people and firms decide has the freedom to decide.

A. Communist manifesto

B. Laissez-faire
C. Communism

D. Capitalism

41. In a free market system, it determines a decentralized way of the amount that anyone household
cats depende income and wealth.

A. Free enterprise

B. Consumer sovereignty

C. Distribution of output

D. Price theory

42. Structure of economy that is made up of independently owned firms that exists to make profit and
non-profit organization. It includes all the decision-making units within the economy that are not part of
the government.

A. Public sector

B. Private sector

C. National sector

D. International sector

43. It is the government and its agencies at all levels federal and state. The role of the government in the
economy is to collect taxes and government spending.

A. Public sector

B. Private sector

C. National sector

D. International sector

44. An organization that transforms resources into products.

A. Labor market
B. Capital market

C. Firm

D. Household

45. The consuming units in an economy.

A. Labor market

B. Capital market

C. Firm

D. Household

46. The input market in which household supply their savings for interest or for claims to future profits
to firms that demand funds in order to but capital goods.

A. Labor market

B. Capital market

C. Firm

D. Household

47. Is the schedule of various quantities of goods and services which buyers are willing and able to
purchase at a given price, time, and place all other factors are held constant.

A. Supply

B. Law of supply

C. Demand

D. Law of demand

48. It state that holding all other things constants the quantity demand for commodity or services is
negatively or inversely related to its own price.

A. Supply
B. Law of supply

C. Demand

D. Law of demand

49. Describe the behavior of firms that are producing and selling goods and services.

A. Supply

B. Law of supply

C. Demand

D. Law of demand

50. It refers to the relationship between the price of particular good and the quantity of the good that
firms are willing and able to sell at given price, time and place all other things remaining constant.

A. Supply

B. Law of supply

C. Demand

D. Law of demand

51. States that the higher the price the higher in the amount or quantity of a good that will be supplied
by firms or producers.

A. Supply

B. Law of supply

C. Demand

D. Law of demand

52. Means and upward or downward shifting of demand curve due to different factors except price of
good itself.

A. Consumer income
B. Change in demand

C. Shortage

D. Surplus

53. Is experienced when the price of food is above the equilibrium point.

A. Consumer income

B. Change in demand

C. Shortage

D. Surplus

54. Occurs when the quantity demand exceeds the quantity being supplied.

A. Consumer income

B. Change in demand

C. Shortage

D. Surplus

55. A higher income generally translate into greater ability to buy and hands raises the demand for
goods and services.

A. Consumer income

B. Change in demand

C. Shortage

D. Surplus