Case Study: Starting a Business — Unit test

Question 1

Goods that are considered to be needs tend to be

Revolt · Accepted Answer

inelastic when the price changes.

Question 2

What must an entrepreneur assume when starting a business?

Revolt · Accepted Answer

that clever market strategies may still fail to sell a product

Question 3

An entrepreneur’s first business fails, but their second attempt at the business is succeeding. You can assume that

Revolt · Accepted Answer

they learned from their mistakes.

Question 4

Which is an example of a negative incentive for producers?

Revolt · Accepted Answer

a sharp increase in production costs

Question 5

The graph shows a production possibilities curve for Sabrina’s Soccer. At which point on the graph are resources not used efficiently?

Revolt · Accepted Answer

point Y

Case Study: Starting a Business — Unit test Answers