Test Bank For ECON Macro Principles of Macroeconomics 1st Canadian Edition By Moir O’Shaughnessy
ISBN-10 : 0176502793, ISBN-13 : 978-0176502799
1. What is the meaning of unlimited wants? | a. | that people always desire more of at least one good | | b. | that each person has an unlimited desire for every good | | c. | that selfish people are NOT concerned about other people | | d. | that people buy goods without regard to what they can afford | |
2. What statement describes the reality of scarcity? | a. | There are NOT enough jobs available to all people. | | b. | There are NOT enough resources to satisfy people’s unlimited wants. | | c. | There are NOT enough resources to satisfy people’s limited wants. | | d. | There are NOT enough taxes to fund daycare spaces. | |
3. Which of the following best describes when scarcity occurs? | a. | when resources are unlimited | | b. | when there is a shortage, so buyers cannot obtain the goods they want | | c. | when there is a surplus, so sellers cannot sell the goods they produce | | d. | when resources are insufficient to satisfy unlimited wants | |
4. Why does economic scarcity exist? | a. | because people have wants that are unlimited relative to the availability of resources to satisfy those wants | | b. | because governments have the means to provide as many services as it decides to | | c. | because individuals do NOT have to make choices | | d. | because NOT everyone has unlimited wants | |
5. What occurs when people’s wants are unlimited but resources are scarce? | a. | Only rich people get everything they want. | | b. | People must make choices. | | c. | More services are available than goods. | | d. | More goods are available than services. | |