In the United States, most of the goods and services we purchase are produced by companies in the portion of the economy that is not under government control, otherwise known as:
A. • the equilibrium sector.
B. • the black-market sector.
C. • the public sector.
D. • the private sector.
D. • the private sector.
What is the first thing that business owners must consider when determining the price of their goods?
A. • the costs associated with purchasing the finished product from the manufacturer including all shipping and packaging
B. • the average income of consumers most likely to buy their product
C. • how much money they hope to bring in as a profit annually
D. • what price point the items closest to their item on the store shelves will be
A. • the costs associated with purchasing the finished product from the manufacturer including all shipping and packaging
An economy based on cultural and traditional values is common among isolated and developing regions of the world and is typically referred to as what kind of economy?
A. • backward
B. Command
C. Traditional
D. Vertical
C. Traditional
In 2011, what giant entertainment company decided to separate into two business units, only to quickly discover that consumers were not happy with the decision, leading the company to abandon their split and return to the original corporate structure?
A. CNN
B. Netflix
C. Spotify
D. Amazon
B. Netflix
Rather than being backed by money, traditional economies generally depend on____ to support their economy.
A. • competition and surplus
B. • skills and traditions
C. • bartering and trade
D. • stocks and bonds
B. • skills and traditions
When determining how to price the goods that you will sell, if you notice that a lot of consumers want your product, you can typically do what to the price while still meeting the demand and making a bigger profit?
A. Cut the price in half
B. • raise the price a reasonable amount
C. • quadruple the price beyond the going rate
D. • offer different prices for different buyers