Introduction Answers

What is a commodity? A. Something that producers are unable to sell to consumers. B. A resource that is available in unlimited quantities. C. An exchange between a producer and a consumer. D. Something of value that can be bought, sold, or traded. Please select the best answer from the choices provided

Which of the following is an indirect competitor for a company that makes chocolate chip cookies?A.Another company that makes chocolate chip cookiesB.A company that makes potato chipsC.A company that makes baking pansD.A company that makes brownies

In a planned economy, prices of commodities are controlled by _________.A.Supply and demandB.Producers and consumersC.The governmentD.Private enterprises

What is likely to happen if the price of a product goes up?A.The supply is likely to increase.B.The supply is likely to decrease.C.The demand is likely to cause scarcity.D.The demand is likely to increase.

Which of the following is a sign of a strong economy?A.An increase in GDPB.A shrinking economyC.An increase in unemploymentD.A decrease in spending power

Which of the following commodities is a good?A.A swimming lessonB.A deskC.House cleaningD.Dog walking

A producer is _____________. A. someone who makes a commodity available for sale or exchange B. someone who buys or trades in order to receive a commodity C. someone who is in the market for a commodity D. someone who receives a commodity from a business Please select the best answer from the choices provided

Which two factors and their interaction regulate the market economy? A. Goods and services B. Producers and consumers C. Product-based and service-based businesses D. Public and private sectors Please select the best answer from the choices provided

If your company uses a nonprice competition strategy, what should you focus on? A. Lower prices B. Differentiation C. Create direct competitors D. Partner with the public sector Please select the best answer from the choices provided

As a factor of production, how is capital created? A. By adding land to entrepreneurship. B. By adding human labor to land. C. By removing land from services. D. By using labor to create services. Please select the best answer from the choices provided