Question 1

Explain how the basic economic questions are answered in the capitalistic and command economies.

Accepted Answer

In a capitalistic economy, the basic eco...

Question 2

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Accepted Answer

A)   serious inflation eroding the purchasing power of his investment.
B)   being paid before the suppliers and employees are paid.
C)   losing his home, car, and life savings.
D)   losing the money he has invested in the corporation and not receiving profits.
E)   the company giving all of the profits to local communities.F) C) and D)
G) B) and E)

Question 3

Specialization is meant to increase the efficiency of industrial workers.

Accepted Answer

A) True 
 B)False

Question 4

Ways in which consumers affect American business include all the following except

Accepted Answer

A)   purchasing goods and services.
B)   providing necessary business capital.
C)   providing the labor necessary for production.
D)   providing the resources necessary for production.
E)   taxing goods and services.F) None of the above
G) D) and E)

Question 5

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Accepted Answer

A) True 
 B)False

Question 6

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Accepted Answer

A)   how to produce.
B)   for whom to produce.
C)   what to produce.
D)   when to produce.
E)   to avoid faddish products.F) A) and B)
G) D) and E)

Question 7

Which of the following is not a characteristic of an oligopoly?

Accepted Answer

A)   There are few sellers.
B)   The seller has considerable control over price.
C)   Any duplication of facilities is wasteful.
D)   Sizable investments are required to enter the market.
E)   The market actions of each seller can strongly affect other sellers.F) B) and C)
G) D) and E)

Question 8

As computers gained popularity, the ____ typewriters decreased along with the price.

Accepted Answer

A)   demand for
B)   supply of
C)   equilibrium of
D)   productivity of
E)   monopoly associated withF) B) and C)
G) C) and E)

Question 9

The production and operations manager at a large shoe factory in Fall River, Massachusetts, notices that the total number of hours worked by production employees has increased 12 percent, while the number of pairs of shoes ready for shipping has dropped 6 percent this year over last year.This indicates that

Accepted Answer

A)   the inflation rate is unchanged.
B)   demand for shoes is decreasing.
C)   the manager's calculations cannot be correct.
D)   productivity has decreased.
E)   the gross national product has increased by 6 percent.F) All of the above
G) A) and C)

Question 10

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Accepted Answer

A) True 
 B)False

Question 11

Fluctuations in a nation's economy are referred to as its _____.

Accepted Answer

A)   economic upheaval
B)   inflation problem
C)   depression cycle
D)   business cycle
E)   recession periodF) C) and D)
G) A) and D)

Question 12

General Mills and a few other firms dominating the American cereal market are an example of _____.

Accepted Answer

A)   pure competition
B)   monopolistic competition
C)   oligopoly
D)   natural monopoly
E)   monopolyF) A) and C)
G) A) and B)

Question 13

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of _____.

Accepted Answer

A)   the business cycle
B)   economic stimulation
C)   monetary policy
D)   recession
E)   fiscal policyF) A) and E)
G) A) and C)

Question 14

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Accepted Answer

A) True 
 B)False

Question 15

Today, managers and employees are no longer concerned about cultural diversity.

Accepted Answer

A) True 
 B)False

Question 16

Cultural diversity represents:

Accepted Answer

A)   a business theory that is no longer valid.
B)   the differences among people in a workforce.
C)   a technical skill.
D)   a statistical method used to project sales revenues and profits for global companies.
E)   a religious issue that doesn't affect business organizations.F) A) and C)
G) A) and D)

Question 17

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Accepted Answer

A)   lost sight of consumers' needs.
B)   attempted to satisfy consumers' needs.
C)   followed consumers' wants too closely.
D)   knew the economy would rise again.
E)   did not expect a profit.F) A) and E)
G) A) and D)

Question 18

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n)  _____.

Accepted Answer

A)   capitalist
B)   laborer
C)   corporate owner
D)   entrepreneur
E)   competitorF) A) and C)
G) A) and B)

Question 19

Public utilities are often referred to as _____.

Accepted Answer

A)   sole proprietorships
B)   monopolistic competitors
C)   monopolies
D)   oligopolies
E)   socialisticF) All of the above
G) B) and D)

Question 20

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n)  _____.

Accepted Answer

A)   service business
B)   sole proprietorship
C)   marketing intermediary
D)   manufacturing establishment
E)   perfect competitionF) A) and B)
G) C) and E)

Exam 1: Exploring the World of Business and Economics

Public utilities are often referred to as _____.

Correct Answer
verified

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Correct Answer
verified

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Correct Answer
verified

Today, managers and employees are no longer concerned about cultural diversity.

Correct Answer
verified

General Mills and a few other firms dominating the American cereal market are an example of _____.

Correct Answer
verified

As computers gained popularity, the ____ typewriters decreased along with the price.

Correct Answer
verified

Correct Answer
verified

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Correct Answer
verified

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Correct Answer
verified

Explain how the basic economic questions are answered in the capitalistic and command economies.

Correct Answer
Answered by ExamLex AI
In a capitalistic economy, the basic eco...
View Answer

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n) _____.

Correct Answer
verified

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Correct Answer
verified

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of _____.

Correct Answer
verified

Which of the following is not a characteristic of an oligopoly?

Correct Answer
verified

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Correct Answer
verified

Specialization is meant to increase the efficiency of industrial workers.

Correct Answer
verified

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n) _____.

Correct Answer
verified

Ways in which consumers affect American business include all the following except

Correct Answer
verified

Fluctuations in a nation's economy are referred to as its _____.

Correct Answer
verified

Cultural diversity represents:

Correct Answer
verified

Exam 1: Exploring the World of Business and Economics

Public utilities are often referred to as _____.

Correct AnswerverifiedShow Answer

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Correct AnswerverifiedShow Answer

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Correct AnswerverifiedShow Answer

Today, managers and employees are no longer concerned about cultural diversity.

Correct AnswerverifiedShow Answer

General Mills and a few other firms dominating the American cereal market are an example of _____.

Correct AnswerverifiedShow Answer

As computers gained popularity, the ____ typewriters decreased along with the price.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Correct AnswerverifiedShow Answer

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Correct AnswerverifiedShow Answer

Explain how the basic economic questions are answered in the capitalistic and command economies.

Correct AnswerAnswered by ExamLex AIIn a capitalistic economy, the basic eco...View AnswerShow Answer

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n) _____.

Correct AnswerverifiedShow Answer

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Correct AnswerverifiedShow Answer

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of _____.

Correct AnswerverifiedShow Answer

Which of the following is not a characteristic of an oligopoly?

Correct AnswerverifiedShow Answer

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Correct AnswerverifiedShow Answer

Specialization is meant to increase the efficiency of industrial workers.

Correct AnswerverifiedShow Answer

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n) _____.

Correct AnswerverifiedShow Answer

Ways in which consumers affect American business include all the following except

Correct AnswerverifiedShow Answer

Fluctuations in a nation's economy are referred to as its _____.

Correct AnswerverifiedShow Answer

Cultural diversity represents:

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
Answered by ExamLex AI
In a capitalistic economy, the basic eco...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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