Which of these is an example of a capital resource?
A. workers
B. iron ore
C. entrepreneurs
D. computers
D. computers
How does scarcity affect customers?
A. Limited money forces consumers to make choices.
B. Limited time prevents customers from making decisions.
C. Limited numbers of producers force customers to be loyal.
D. Limited wants and needs limit customers to small purchases.
A. Limited money forces consumers to make choices.
A fast-food chain makes the decision to rebrand itself as a mid-range adult café instead of a cheap kid-friendly restaurant. This change will involve using higher-quality ingredients and renovating to remove children’s playgrounds.
Use the passage to answer the question.
What is the opportunity cost in the scenario above?
A. one-time expense of renovating restaurants
B. ongoing expense of high-quality ingredients
C. money that is expected to be provided by new adult customers
D. money that could have been made from families with young children
D. Money that could have been made from families with young children
How has the geography of the Ozark Mountains region affected what farmers produce?
A. There are many farms in the Ozarks, so a new farmer might stay away from growing things that nearby farms are already producing.
B. The soil in the Ozarks isn’t known for good crop production, so a farmer may turn to raising poultry or livestock instead.
C. Not many people live in the Ozarks, so a farmer might grow something that takes up a lot of space.
D. Farmers in the Ozarks produce the most produce in the state due to the region’s favorable climate.
B. The soil in the Ozarks isn’t known for good crop production, so a farmer may turn to raising poultry or livestock instead.
How does the use of plastic to produce bicycle helmets affect other plastic-using industries?
A. It decreases the prices offered by other industries.
B. It increases the demand for products of other industries.
C. It increases the capital available to other industries.
D. It decreases the amount of resources available to other industries.
D. It decreases the amount of resources available to other industries.
Nelson used to work in a factory that made auto parts until the company closed his location and opened a new factory in China. A press release from the company said that the company could save several million dollars per year by making the parts overseas and shipping them back to the United States.
Use the passage to answer the questions.
Which downside of free trade caused Nelson to lose his job?
A. importing
B. outsourcing
C. exhanging
D. exporting