Question 1

The higher the price of a good or service, the greater the quantity demanded.

Accepted Answer

A) True 
 B)False

Question 2

Which type of GDP takes inflation into account and uses adjusted market prices?

Accepted Answer

A)  real 
B)  frictional 
C)  adjusted 
D)  cyclical 
A)  real 
B)  frictional 
C)  adjusted 
D)  cyclical

Question 3

The Bank of Canada can print money and raise taxes.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following terms refers to the quantity of a product or service that businesses will make available at various prices?

Accepted Answer

A)  demand 
B)  market potential 
C)  supply 
D)  capacity 
A)  demand 
B)  market potential 
C)  supply 
D)  capacity

Question 5

In PEI, jobs are plentiful during the summer months, but difficult to find in September once the tourists leave and many restaurants and inns close. People who work in the island's restaurants annually become unemployed in which way?

Accepted Answer

A)  structurally 
B)  geographically 
C)  frictionally 
D)  seasonally 
A)  structurally 
B)  geographically 
C)  frictionally 
D)  seasonally

Question 6

Mexico requires all foreign companies operating there to have a local business partner. This is an example of which of the following?

Accepted Answer

A)  economic partnership 
B)  economic merger 
C)  transactional partnership 
D)  strategic alliance 
A)  economic partnership 
B)  economic merger 
C)  transactional partnership 
D)  strategic alliance

Question 7

Which of the following are most negatively affected by a high inflation rate?

Accepted Answer

A)  young people 
B)  people on fixed incomes 
C)  new workers 
D)  government workers 
A)  young people 
B)  people on fixed incomes 
C)  new workers 
D)  government workers

Question 8

The Bank of Canada can stimulate the economy by increasing the money supply.

Accepted Answer

A) True 
 B)False

Question 9

The consumer price index (CPI) is partially composed of which of the following?

Accepted Answer

A)  cars bought by a delivery company 
B)  food bought by a restaurant in order to prepare menu items 
C)  iron ore used by the steel industry 
D)  family recreation 
A)  cars bought by a delivery company 
B)  food bought by a restaurant in order to prepare menu items 
C)  iron ore used by the steel industry 
D)  family recreation

Question 10

An analyst at Merrill Lynch who is evaluating Home Depot as an investment for her clients is taking a microeconomics approach.

Accepted Answer

A) True 
 B)False

Question 11

Which market structure is an ideal and does not really exist?

Accepted Answer

perfect or

Question 12

Canada, Great Britain, and Sweden are market economies.

Accepted Answer

A) True 
 B)False

Question 13

When demand and supply meet, the price of the product or service is established. What is this point called?

Accepted Answer

A)  equilibrium 
B)  interaction 
C)  price intersection 
D)  monetary value 
A)  equilibrium 
B)  interaction 
C)  price intersection 
D)  monetary value

Question 14

For the past 10 years, Kris Boja has been a welder for a local manufacturer. This morning her boss informed her that a robot would replace her. Boja's unemployment is an example of which type of unemployment?

Accepted Answer

A)  cyclical 
B)  mechanical 
C)  structural 
D)  frictional 
A)  cyclical 
B)  mechanical 
C)  structural 
D)  frictional

Question 15

The combined talents, skills and capabilities of individuals in the workforce is which factor of production?

Accepted Answer

A)  knowledge 
B)  capital 
C)  entrepreneurship 
D)  labour 
A)  knowledge 
B)  capital 
C)  entrepreneurship 
D)  labour

Question 16

There is a large capital requirement needed to set up a tire manufacturing operation. What type of market structure do tire manufacturers operate in?

Accepted Answer

A)  perfect competition 
B)  oligopoly 
C)  imperfect competition 
D)  monopolistic competition 
A)  perfect competition 
B)  oligopoly 
C)  imperfect competition 
D)  monopolistic competition

Question 17

Which of the following statements best describes how equilibrium varies?

Accepted Answer

A)  At prices below equilibrium, demand exceeds supply. 
B)  Government intervention is usually needed to achieve market equilibrium. 
C)  At prices above equilibrium, suppliers produce less than consumers are willing to buy. 
D)  A surplus of product pushes prices above equilibrium. 
A)  At prices below equilibrium, demand exceeds supply. 
B)  Government intervention is usually needed to achieve market equilibrium. 
C)  At prices above equilibrium, suppliers produce less than consumers are willing to buy. 
D)  A surplus of product pushes prices above equilibrium.

Question 18

Which of the following statements describes an oligopoly?

Accepted Answer

A)  In an oligopoly, three or four companies usually dominate the marketplace. 
B)  In an oligopoly, there are many companies selling identical products. 
C)  In an oligopoly, prices between companies are very different. 
D)  In an oligopoly, there are usually one or two companies that dominate the market. 
A)  In an oligopoly, three or four companies usually dominate the marketplace. 
B)  In an oligopoly, there are many companies selling identical products. 
C)  In an oligopoly, prices between companies are very different. 
D)  In an oligopoly, there are usually one or two companies that dominate the market.

Question 19

How is the national debt described?

Accepted Answer

A)  as the cumulative total owed to Canada by foreign countries 
B)  as the amount of money owed each year by the taxpayers 
C)  as the cumulative total of the government's annual budget deficits 
D)  as the total amount owed by corporations 
A)  as the cumulative total owed to Canada by foreign countries 
B)  as the amount of money owed each year by the taxpayers 
C)  as the cumulative total of the government's annual budget deficits 
D)  as the total amount owed by corporations

Question 20

If the national unemployment rate goes up, which of the following might be a contributing factor?

Accepted Answer

A)  Some people took a job transfer to another province. 
B)  Some people took a job right out of high school. 
C)  Some people are preparing for later employment by attending school. 
D)  Some people started a new job and their old position is vacant. 
A)  Some people took a job transfer to another province. 
B)  Some people took a job right out of high school. 
C)  Some people are preparing for later employment by attending school. 
D)  Some people started a new job and their old position is vacant.

The higher the price of a good or service, the greater the quantity demanded.

Which type of GDP takes inflation into account and uses adjusted market prices?

The Bank of Canada can print money and raise taxes.

Which of the following terms refers to the quantity of a product or service that businesses will make available at various prices?

In PEI, jobs are plentiful during the summer months, but difficult to find in September once the tourists leave and many restaurants and inns close. People who work in the island's restaurants annually become unemployed in which way?

Mexico requires all foreign companies operating there to have a local business partner. This is an example of which of the following?

Which of the following are most negatively affected by a high inflation rate?

The Bank of Canada can stimulate the economy by increasing the money supply.

The consumer price index (CPI) is partially composed of which of the following?

An analyst at Merrill Lynch who is evaluating Home Depot as an investment for her clients is taking a microeconomics approach.

Which market structure is an ideal and does not really exist?

Canada, Great Britain, and Sweden are market economies.

When demand and supply meet, the price of the product or service is established. What is this point called?

For the past 10 years, Kris Boja has been a welder for a local manufacturer. This morning her boss informed her that a robot would replace her. Boja's unemployment is an example of which type of unemployment?

The combined talents, skills and capabilities of individuals in the workforce is which factor of production?

There is a large capital requirement needed to set up a tire manufacturing operation. What type of market structure do tire manufacturers operate in?

Which of the following statements best describes how equilibrium varies?

Which of the following statements describes an oligopoly?

How is the national debt described?

If the national unemployment rate goes up, which of the following might be a contributing factor?

Political Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Accounting for Financial Success

Understanding Money and the Canadian Financial System

Finance

Filters

Exam 2: Economic Environment

The higher the price of a good or service, the greater the quantity demanded.

Which type of GDP takes inflation into account and uses adjusted market prices?

The Bank of Canada can print money and raise taxes.

Which of the following terms refers to the quantity of a product or service that businesses will make available at various prices?

In PEI, jobs are plentiful during the summer months, but difficult to find in September once the tourists leave and many restaurants and inns close. People who work in the island's restaurants annually become unemployed in which way?

Mexico requires all foreign companies operating there to have a local business partner. This is an example of which of the following?

Which of the following are most negatively affected by a high inflation rate?

The Bank of Canada can stimulate the economy by increasing the money supply.

The consumer price index (CPI) is partially composed of which of the following?

An analyst at Merrill Lynch who is evaluating Home Depot as an investment for her clients is taking a microeconomics approach.

Which market structure is an ideal and does not really exist?

Canada, Great Britain, and Sweden are market economies.

When demand and supply meet, the price of the product or service is established. What is this point called?

For the past 10 years, Kris Boja has been a welder for a local manufacturer. This morning her boss informed her that a robot would replace her. Boja's unemployment is an example of which type of unemployment?

The combined talents, skills and capabilities of individuals in the workforce is which factor of production?

There is a large capital requirement needed to set up a tire manufacturing operation. What type of market structure do tire manufacturers operate in?

Which of the following statements best describes how equilibrium varies?

Which of the following statements describes an oligopoly?

How is the national debt described?

If the national unemployment rate goes up, which of the following might be a contributing factor?

Political Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Accounting for Financial Success

Understanding Money and the Canadian Financial System

Finance

Filters