Exam 1: The Wealth of Nations: Ownership and Economic Freedom

In 1981, in San Francisco Solano, Argentina, about 1,800 families took over a piece of wasteland. The government was able to deed 60 percent of this land to some families while the remaining part could not be deeded. The resulting houses varied greatly, based on whether the residents received title. Those who received title also behaved differently, having fewer children, and the children experienced more education and better health. This is an example of the results from:

Figure 1.3 -In Figure 1.3, which of the following points would best enhance future production (that is, which point would be best for investment purposes)?

The economist Hernando de Soto extensively studied:

Figure 1.2 -Which of the following does the production possibilities curve illustrate?

The concept of scarcity as used by economists refers to:

Figure 1.3 -A positive (non-zero) price for a good means there is a surplus of that good.

People:

Figure 1.3 -Point D in Figure 1.3 represents:

Choices need to be made because of all of the following, except limited _____.

Which of the following is an example of capital?

Figure 1.3 -If you must make a choice about consuming two apples, three oranges, or one candy bar, the opportunity cost of the two apples is the candy bar plus the three oranges.

To say that there is a scarcity of gold means that:

Which of the following hinders economic freedom?

Ronnie waits one hour in queue to buy a ticket to a rock concert. The opportunity cost of buying the $28 ticket:

If you must make a choice about consuming two apples, three oranges, or one candy bar, the opportunity cost of the candy bar is:

The major economic problem is to:

Table 1.4 -According to the production possibilities schedule in Table 1.4, which of the following statements is true?

Economic freedom:

What accounts for specialization?

​In spite of having no natural resources, a country like _____ was able to make itself one of the wealthiest countries in the world because it allowed private ownership.