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1
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Based on the graph, what conclusion can be drawn about trade between the United States and China?

A
China’s economy is improving, which has helped trade.
B
The United States has a trade deficit with China.
C
The United States has a trade surplus with China.
D
China’s economy is declining, which has harmed trade.
2
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What should be included in an informative essay? Choose four correct answers.

A
properly cited sources
B
supporting details
C
parenthetical citations
D
smooth transitions
E
emotional language
3

In developed economies, less-educated workers

A
have more jobs to choose from.
B
may be outsourced to other nations.
C
are often more highly skilled than other workers.
D
can have difficulty finding work.
4

US federal income tax is progressive by law, but which best explains why wealthy individuals can often pay far less in taxes than the top tax rate?

A
High-income earners can fight in court for the right to a reduced rate.
B
High-income earners always place their assets overseas to lower their tax rates.
C
High-income earners use tax laws to their advantage to reduce their tax rates.
D
High-income earners reduce their tax rates through numerous deductions.
7

A tariff is a type of

A
punishment.
B
grant.
C
tax.
D
subsidy.
8

Which is the best question for Joe to ask himself when deciding whether to open a checking or savings account?

A
If I need a loan, will they give it to me?
B
Does the bank offer free checking?
C
Why am I opening a bank account?
D
Is there an ATM near my home or work?
9

What are some benefits to private ownership? Choose three correct answers.

A
Private ownership might help a person move to another economic class.
B
Private ownership provides land or goods for all citizens to use.
C
Private ownership provides offices for government workers.
D
Private ownership can make it possible for a business to earn money.
E
Private ownership allows a person to own goods that may increase in value.
10

What decisions does the business cycle help businesses make? Choose four correct answers.

A
whether to increase or decrease production
B
whether to keep or change products
C
whether to grow or shrink the business
D
whether to invest or save money
E
whether to stay at old facilities or move to new facilities
F
whether to hire or lay off workers
11

Which federal regulatory agency would most likely bring a civil suit against a business that broke securities laws?

A
the FDA
B
OSHA
C
the SEC
D
the FDIC
12

Which of these statements about opportunity cost are true? Choose three correct answers.

A
It influences consumers.
B
It encourages people to spread their resources around.
C
It influences producers.
D
It assists in anticipating profits.
E
It exists because resources are scarce.
13

In which part of the presentation should you provide evidence to support your ideas?

A
the body
B
the closing
C
the opening
D
the hook
14

In which of these ways do governments spend money to meet public needs? Choose four correct answers.

A
by providing health care
B
by protecting the public
C
by supporting education
D
by arming the public
E
by building roads and bridges
16

The highest amount a landlord can charge for rent is an example of

A
a price ceiling.
B
a price floor.
C
an elastic service.
D
an incentive.
17

When prices drop below the point where supply and demand meet, it results in

A
production.
B
disequilibrium.
C
equilibrium.
D
coordination.
19

A possible result of disequilibrium is

A
lower demand.
B
excess demand.
C
stable availability.
D
fixed prices.
20

Which are considered types of credit available to borrowers? Choose four correct answers.

A
cash
B
bonds
C
personal loans
D
auto loans
E
credit cards
F
gift cards
G
mortgages
21

In which way do producers try to differentiate themselves in monopolistic competition?

A
product features
B
image
C
advertising
D
price
22

What happens when a bank is required to hold more money in reserve?

A
It has less money for operations.
B
It has less money for loans.
C
It has less money for withdrawals.
D
It has less money for interest payments.
23

Which statement best describes the main cause of the 2008 housing market crash in the United States?

A
Many homes could not sell because housing prices rose too fast.
B
Many people could not buy new homes during a weak economy.
C
Many people could not make home payments during a weak economy.
D
Many homes could not sell because banks charged high interest.
24

John has a large apple orchard. He has decided to bake pies and sell them at the local farmer’s market. Which best describes John’s use of economics?

A
John is relying on inexpensive labor costs to improve profits.
B
John is using resources to produce both goods and services.
C
John is using available and renewable resources.
D
John is assuming consumers will have limited need for his product.

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