1、_____ not only provide factors of production (or resources) but also consume goods and services. a、suppliers b、nonprofits c、entrepreneurs d、households
2、when government-owned businesses convert to private ownership, they go through a process called _____. a、consumerization b、socialization c、domestication d、privatization
3、the free market system was espoused by _____ in his book the wealth of nations. a、joseph smith b、eli whitney c、adam smith d、benjamin franklin
4、product differentiation can be achieved by _____. a、geographical circumstance b、pricing c、perceived value d、all of these
5、under _____ competition, many sellers sell differentiated products that serve similar purposes. a、monopolistic b、perfect c、capitalistic d、free market
6、because they operate in a(n) _____ industry, a fare decrease at american airlines will likely result in decreases at continental, united, and other carriers. a、socialistic b、monopolistic c、oligopolistic d、noncompetitive
7、when sellers supply more of the product than buyers are willing to purchase, a ______ is created. a、shortage b、supply and demand schedule c、surplus d、demand
8、businesses are more willing to sell a product when the price _____ and less willing to sell it when prices _____. a、rises / rise b、rises / fall c、falls / rise d、falls / rise
9、in marketing, supply and demand interact to create a(n) _____price—the price at which buyers are willing to purchase the amount that sellers are willing to sell. a、equilibrium b、gross domestic c、optimal d、consumer
10、previously communist economies, such as those of eastern europe, are becoming more mixed as they adopt capitalist characteristics and convert previously government-owned businesses to private ownership
11、economics is the study of how scarce resources are used to produce outputs—goods and services—for distribution among people.
12、economists study the interactions between households and businesses and look at the ways in which the factors of production are combined to produce the goods and services that people need.
13、in an oligopoly, each seller supplies a large portion of all the products sold in the marketplace.
14、perfect competition exists when many consumers are buying standardized products from a few small businesses.
15、the equilibrium price is a point at which buyers’ demand for a product and sellers’ supply of it are in balance.