1. Econ Quizzo SS 8 December 15, 2014

2. Round 1 1. In this economy, the economic questions are answered by trading. 2. In this economy, the government answers the economic questions. 3. What are the 4 parts of demand? 4. Patrick wants to buy a gift for his girlfriend Lady Gaga. He can buy a Tiffany diamond necklace for her or a Panera sandwich. What is his opportunity cost if he buys the sandwich? 5. A PS4 would be an example of a ____ good.

3. Answers – Round 1 1. Traditional 2. Command 3. Amount, Willing to Buy, Able to Buy, Price 4. Not buying the Tiffany necklace 5. Private

4. Round 2 1. In this economy, business owners make all of the decisions. 2. Company A is offering $75 for every $36 invested. Company B is offering $114 for every $57 invested. Company C is offering $1,000 for every $675 invested. Which company should I go with? 3. A firehouse is an example of what type of good. 4. When a business makes more money than it spends, this is a result. 5. In this system, a company has permission from the “parent company” to sell a certain good or service in a particular area for a sum of money.

5. Answers – Round 2 1. Market 2. Company A 3. Public 4. Profit 5. Franchise

6. Calculate GDP – Round 3 Country A40,000 @ $218 each 1,189 @ $187each 10,746 @ $42 each 40,948 Country B98,420 @ $189 each 15,054 @ $97 each 167,147 @ $56 each 162,072 Country C44,805 @ $107 each 7,483 @ $148 each 42,809 @ $51 each 90,711 Country D168,112 @ $120 each 7, 010 @ $97 each 55,565 @ $75 each 2,000,047 Country E50 @ $112 each 23, 281 @ $101 each 217, 594 @ $37 each 128,614 Country F18,000 @ $110 each 15,704 @ $89 each 157,153 @ $48 each 338,917 Country G25,000 @ $168 each 17,798 @ $109 each 108,647 @ $20 each 980,742 Country H100 @ $75 each 20,748 @ $112 each 200,700 @ $35 each 1,328,000 Country I5,187 @ $45 each 7,021 @ $104 each 4,198 @ $90 each 56,923 Country J2,789 @ $67 each 9,156 @ $84 each 2,345 @ $12 each 93,428

7. Round 3 1. Which country had the highest GDP? 2. Which country had the lowest GDP per capita? 3. Which country had the lowest GDP? 4. Which country had the highest GDP per capita? 5. In which type of business is it easier to get money (ex. a loan) from the bank?

8. Answers – Round 3 1. B 2. H 3. J 4. A 5. Corporation

9. Round 4 1. Only ______ goods are counted towards GDP. 2. In this business system, I have no liability as a business owner/leader. 3. What are the 3 types of resources? 4. These are costs that NEVER change for a business. 5. Legal responsibility for something such as an action or a debt. What is this?

10. Answers – Round 4 1. Final 2. Corporation 3. Natural, Labor, Capital 4. Fixed 5. Liability

11. Round 5 1. An item that is consumed by 1 person is defined as… 2. What could go at letter A on the chart? 3. “We have unlimited wants but there is a limit of resources available to meet these wants.” Which term best describes the main idea of this sentence? 4. Miles Allen runs a store that sells Barack Obama bobble head dolls. It cost him $1.78 to make each one and he sells them for $5.25. What is his revenue and his profit? A

12. Answers – Round 5 1. Private Good 2. Money 3. scarcity 4. $5.25/$3.47

13. Round 6 1. A t what hour would the store lose money? 2. W hat does MR mean? 3. A t what hour does the store reach equilibrium? 4. O nly ______ goods are counted towards GDP. 5. T he rise and fall of businesses is called _______________ by economist.

14. Answers – Round 6 1. 6 2. Marginal Revenue 3. 5 4. Final 5. Business Cycle

15. Round 7 1. T he government will do this when there is an unsafe product on the market. 2. L egal responsibility for something such as an action or a debt. What is this? 3. L aissez-faire means what in economics? 4. D efine equilibrium price. 5. I bought a cupcake for.36 and sold it for $1.59. What is my profit?

16. Round 7 Answers 1. Recall 2. Liability 3. Hands-off from government 4. When there is neither a profit or a loss of money 5. $1.23