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Business and the Economy Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. Which of the following is NOT a barrier to trade?

Question 2 2. How is an imperfect competition defined?

Question 3 3. Which of the following statements is true regarding the relationships in a market economy?

Question 4 4. Which of the following considered part of an external business environment?

Question 5 5. Which of the following is NOT true about technology?

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Question 6 6. In December 2016, 155,000 of Mainfield's adult residents were employed while 27,000 were unemployed. What was Mainfield's unemployment rate in December?

Question 7 7. A social environment is BEST described as:

Question 8 8. Human capital refers to which of the following?

Question 9 9. Which one of the following is NOT a characteristic of capitalism?

Question 10 10. Which of the following BEST describes a foreign subsidiary?

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Question 11 11. Why is a diverse workforce important for a business?

Question 12 12. If the government wants to increase the rate of economic growth, what type of monetary policy will it implement?

Question 13 13. According to this chart, what was the unemployment rate during the peak of the business cycle?

Question 14 14. If discouraged workers were actually counted in the unemployment rate:

Question 15 15. Which of the following would NOT be included in consumption?

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Question 16 16. Which of the following groups includes the sum of employed and unemployed workers?

Question 17 17. Economists recognize that the economy doesn't grow smoothly, but in regular patterns. Which of these terms best describes this?

Question 18 18. What does the circular flow model of the economy illustrate?

Question 19 19. What's the best explanation of intellectual capital?

Question 20 20. How does a cost leader attempt to maximize profits?

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Question 21 21. Why would a niche strategy represent an example of a selective strategy?

Question 22 22. If the unemployment rate rose from 5% to 7%, but more people were employed, what LIKELY occurred?

Question 23 23. Economists call the equipment and structures used to produce goods and services:

Question 24 24. A business influences its external environment by:

Question 25 25. Which of the following statements about the legal environment of a business is FALSE?

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Question 26 26. Which of the following is not true regarding productivity?

Question 27 27. The product development team of a large pet food company considers adding cheap, low-quality ingredients as a filler in one of its popular products. Based on the strength of the company brand and management's approval, the team decides to go ahead with developing the product despite each member having private concerns. This scenario illustrates which concept and why?

Question 28 28. Which of the following is the BEST explanation of how a government intervenes in an economy utilizing fiscal policy?

Question 29 29. What is a condition that gives a business a competitive advantage in the marketplace?

Question 30 30. What determines the price of a good or service in a capitalistic economy?

Business and the Economy Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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