A farmer uses soil, tractors, hired workers, and her planning skill to grow corn. Which factor of production is the soil?

Jordan can spend Saturday working an eight-hour shift for $120 or attending a concert. If Jordan attends the concert, what is the opportunity cost?

Which question is mainly microeconomic?

A student uses $25 saved for a new jacket to buy a required calculator for class. Why is the calculator most accurately called a need in this situation?

A company buys a 3-D printer to make custom phone cases. The printer is which factor of production?

A restaurant owner must choose whether to use a vacant room as a bakery or as a private dining area. This situation exists because resources are scarce.

When a manufacturer adds one worker and output rises from 80 to 92 units per hour, what is the marginal product of that worker?

Which payment is most likely an incentive rather than a disincentive for a worker?

A student can spend two hours studying, babysitting for $30, or mowing lawns for $20. If the student studies, what is the opportunity cost?

A business owner combines workers, equipment, and financing to open a new food truck. Which factor of production does the owner's risk-taking represent?

A town has enough lumber to build either 20 cabins or 10 community centers, but not both at those amounts. This tradeoff is shown by a production possibilities curve.

A bicycle maker produces 40 bikes with four workers, 50 bikes with five workers, and 55 bikes with six workers. What does adding the sixth worker show?

A drought reduces the water available to grow lettuce. What is the most likely immediate effect in the lettuce market?

The price of movie tickets falls. Holding other factors constant, what happens in the market for movie tickets?

A popular fitness influencer promotes reusable water bottles. What is the likely effect on the water-bottle market?

The price of aluminum rises for companies that make soda cans. How does this affect the supply of soda cans?

Tea and coffee are substitutes. If the price of coffee rises, what is most likely to happen to demand for tea?

A new machine lets a bakery produce twice as many loaves per hour using the same workers. What happens to the bakery's supply curve?

The price of peanut butter rises. If peanut butter and jelly are complements, what happens to demand for jelly?

A city sets a legal maximum rent below the equilibrium rent. What is most likely in the rental housing market?

A minimum wage is set above the equilibrium wage for entry-level jobs. What result is most likely?

A seller raises the price of a product from $10 to $12, and quantity demanded falls from 100 units to 70 units. This is a movement along the demand curve, not a shift of demand.

A hurricane closes several oil refineries just as summer travel increases demand for gasoline. What is the likely effect in the gasoline market?

When a concert venue raises ticket prices from $60 to $80, it opens more seats for sale. What term describes this change?

A new tax is imposed on each pack of cigarettes sold. In the cigarette market, the tax will most directly cause:

Consumers expect laptop prices to rise next month. What is the most likely effect today?

A farm's workers negotiate a higher wage. If all else remains unchanged, what happens to the farm's supply of strawberries?

A rival pizza restaurant opens next door and offers lower prices. What is the most likely effect on demand for the original restaurant's pizza?

At a price of $4, buyers want 900 bushels of apples while sellers offer 600 bushels. What condition exists?

At a price of $15, producers offer 500 hoodies but consumers want 350. What market pressure is likely?

A company sells a product with no close substitutes and is the only seller because it owns a crucial patent. Which market structure is most likely?

Many farmers sell identical wheat, and no individual farmer can influence the market price. This market is best described as:

Several automobile companies dominate sales, and each considers rivals' likely responses before changing prices. What market structure is this?

Many coffee shops compete, but each uses different branding, flavors, and store designs. Which market structure is described?

Who receives the profits of a sole proprietorship, and what is the owner's liability for its debts?

Two friends form a business and agree to share management, profits, and losses. What form of business organization have they created?

A company wants to raise money by selling ownership shares while giving investors limited liability. Which business form best fits?

A grocery store is owned and democratically controlled by its customer-members, who share benefits from the business. What type of organization is it?

The Sherman Act and Clayton Act are associated primarily with what government role?

A corporation's shareholders elect a board of directors to oversee how the company is run.

A country's labor force is 250,000 people. Of those, 15,000 are unemployed and actively seeking work. What is the unemployment rate?

The CPI rises from 200 to 210 over one year. What is the inflation rate for that year?

Nominal GDP is $600 billion and the GDP price index is 120, with 100 as the base. What is real GDP?

A worker loses a job because a factory installs robots that perform the worker's former tasks. This worker is experiencing:

After graduating, Maya spends six weeks searching for her first full-time job. What type of unemployment is Maya experiencing?

A nation's nominal GDP rises 8 percent, while its overall price level rises 10 percent. What most likely happened to real GDP?

An economy has 180 million people in its labor force and 9 million unemployed people actively seeking work. How many people are employed?

Which measure totals the market value of final goods and services produced within a country during a year?

A price index falls from 150 to 144. What is the rate of deflation?

During a recession, a restaurant lays off workers because customers are spending less throughout the economy. The layoffs are most closely associated with:

If nominal wages rise 3 percent while prices rise 5 percent, workers' purchasing power most likely:

A country produces 40 computers at $500 each and 100 bicycles at $200 each. What is the value of these final goods?

Congress increases infrastructure spending and cuts taxes during a recession. This is:

The Federal Reserve lowers its target interest rate to encourage borrowing and investment. This is:

To slow high inflation, Congress raises taxes and reduces government spending. What policy is this?

The Federal Reserve sells government securities to banks. What is the intended immediate effect on the money supply?

Which institution conducts monetary policy in the United States?

A government runs a budget deficit when its annual spending is greater than its annual revenue.

The Federal Reserve raises the reserve requirement for banks. What is the likely effect on bank lending?

A temporary tax rebate is passed to boost consumer spending. Who makes fiscal policy decisions like this in the United States?

The Federal Reserve buys government securities during an economic slowdown. What is the likely result?

Which policy action is most directly designed to reduce aggregate demand?

In a command economy, who primarily decides what goods will be produced?

In a market economy, rising consumer demand for electric bicycles encourages firms to produce more of them. Which mechanism communicates this information?

A factory dumps waste into a river, harming nearby fishers who are not compensated. What does this illustrate?

A city funds streetlights that illuminate roads for everyone, including people who do not pay directly. Streetlights are best classified as:

A farmer pays for bee habitats that improve pollination for neighboring farms. The benefit to neighbors is a:

The FDIC most directly protects bank customers by:

A tariff is imposed on imported steel. What is the most likely direct effect on imported steel sold in the United States?

Country A can make either 12 shirts or 6 laptops per worker, while Country B can make 8 shirts or 8 laptops per worker. Which country has a comparative advantage in shirts?

Devin earns $3,000 gross pay each month. Taxes and insurance deductions total $620. What is Devin's net monthly pay?

A savings account pays 4 percent simple annual interest. If $500 stays in the account for two years, how much interest is earned?

A credit card has a $1,000 balance and charges 2 percent interest for one month. If no payment is made, what is the new balance?

A borrower can choose a $10,000 one-year loan at 5 percent simple interest or one at 7 percent simple interest. How much less interest does the 5 percent loan cost?

Rosa's monthly take-home pay is $2,800. Her budgeted expenses are rent $1,100, food $450, transportation $250, and savings $300. How much remains?

An insurance plan with a $1,500 deductible generally requires the policyholder to pay what before covered insurance payments begin?

A car costs $24,000. Alex makes a $4,000 down payment and finances the rest. What principal is financed?

A credit card has a $2,000 limit and a $500 balance. What is the cardholder's credit utilization rate?

A saver deposits $1,000 at 10 percent annual compound interest. What is the account balance after two years?

Which action is most likely to improve a person's credit history over time?