Malik cuts lawns in his neighborhood to earn some extra money. His neighbors agree to pay him $15.00 to take care of their lawns for the week, and at that price, Malik is willing to set aside enough time to take care of four lawns. After a few heavy rainstorms that cause the grass to grow more quickly, several of Malik’s other neighbors offer him $20.00 to cut their lawns.
Use the passage to answer the question.
What effect could this price increase have on Malik’s lawn-cutting business? (1 point)
(1 point)
Responses
Malik will not need to cut lawns anymore.
Malik will not need to cut lawns anymore.
Malik will be willing to charge more people less money.
Malik will be willing to charge more people less money.
Malik will cut lawns every day instead of just once a week.
Malik will cut lawns every day instead of just once a week.
Malik will be willing to take care of more lawns that week at the higher price.
Malik will be willing to take care of more lawns that week at the higher price.
Which of the following is a characteristic of a market economy?
(1 point)
Responses
weak property rights
weak property rights
limited role of government
limited role of government
no consumer choice
no consumer choice
lack of competition
limited role of government
Labor unions are most closely tied to which type of productive resource?
(1 point)
Responses
entrepreneurship
entrepreneurship
natural resources
natural resources
capital resources
capital resources
human resources
human resources
How do banks most help grow the economy?
(1 point)
Responses
They provide loans for consumers and investors.
They provide loans for consumers and investors.
They are difficult to steal from.
They are difficult to steal from.
They are backed by the federal government.
They are backed by the federal government.
They offer both checking and savings accounts.