Unit 1 Assessment Fundamentals of Economics

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20 questions
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1

What is scarcity?

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How does scarcity affect economic decision-making?

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Which of the following is an example of a strategy for allocating scarce resources by price?

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Comparing strategies for allocating scarce resources, which method involves using a random selection?

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Which of the following is an example of a natural resource?

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Human capital can be best described as:

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Opportunity cost refers to:

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If a government decides to build more roads instead of more schools, the opportunity cost is:

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A rational decision is made when:

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Which of the following is an example of responding to a positive incentive?

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Which of the following is an example of a negative incentive?

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Investments in human capital can lead to:

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How does education influence the standard of living?

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How can investment in technology positively impact the economy of a country?

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Specialization benefits individuals, businesses, and governments by:

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Which of the following is most likely to improve standard of living in Thomasville?

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Voluntary trade is beneficial because it:

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A production possibilities curve illustrates:

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Explain how scarcity might force an individual to make a choice. Provide a specific example.

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Think about our community. How do investments in technology, healthcare, or education improve the lives of people around you? Provide specific examples from your own experiences or observations, and explain how these investments create positive changes in your community.