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Key Economic Concepts Quiz

Key Economic Concepts · Medium

20 questions · Unlimited attempts · Free online practice

Key economic concepts form the vocabulary and analytical toolkit for understanding how economies function. Supply and demand determine prices; opportunity cost captures the value o...

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All 20 questions in this Key Economic Concepts quiz
  1. What is 'Socialism'?

    • A. Collective/Public ownership
    • B. Monarchy
    • C. Private ownership
    • D. Anarchy
  2. What is the 'World Bank' primarily concerned with?

    • A. Currency exchange
    • B. Short term loans
    • C. Regulating trade
    • D. Development and poverty reduction
  3. What is 'Deregulation'?

    • A. Removing government restrictions on business
    • B. Increasing interest rates
    • C. Adding more laws
    • D. Lowering taxes
  4. What is 'Outsourcing'?

    • A. Buying a firm
    • B. Closing a factory
    • C. Hiring more staff
    • D. Contracting work to an outside supplier
  5. Who is the author of 'The General Theory of Employment Interest and Money'?

    • A. David Ricardo
    • B. Milton Friedman
    • C. Adam Smith
    • D. John Maynard Keynes
  6. Which organization regulates trade?

    • A. UN
    • B. WTO
    • C. IMF
    • D. World Bank
  7. What is 'Liabilities'?

    • A. What you owe
    • B. Total profit
    • C. What you own
    • D. Income
  8. What is the term for the cost of the next best alternative foregone?

    • A. Opportunity Cost
    • B. Variable Cost
    • C. Marginal Cost
    • D. Fixed Cost
  9. What is 'Bond'?

    • A. Cash
    • B. A loan to a firm or government
    • C. A tax
    • D. Ownership in a firm
  10. Which organization is the 'Lender of Last Resort'?

    • A. Central Bank
    • B. WTO
    • C. Commercial Bank
    • D. World Bank
  11. What is deficit?

    • A. Surplus
    • B. Profit
    • C. Shortfall
    • D. Balance
  12. What is opportunity cost?

    • A. Next best alternative
    • B. Extra cost
    • C. Fixed cost
    • D. Total cost
  13. What is 'Maturity'?

    • A. Tax date
    • B. Opening date
    • C. End of a financial instrument's life
    • D. Interest rate
  14. Which type of economy is most common today?

    • A. Pure Market
    • B. Pure Command
    • C. Traditional
    • D. Mixed Economy
  15. What is 'Brain Drain'?

    • A. Mental illness
    • B. Loss of skilled workers to other countries
    • C. School closures
    • D. Old age
  16. What is 'Protectionism'?

    • A. Protecting the environment
    • B. Guarding the central bank
    • C. Restricting imports to protect domestic industries
    • D. Encouraging free trade
  17. What is the 'Base Year' used for?

    • A. Ending a recession
    • B. Paying taxes
    • C. Starting a business
    • D. Calculate inflation/Real GDP
  18. What is 'Laissez-faire'?

    • A. High taxes
    • B. Government control
    • C. Trade restrictions
    • D. No government interference in economy
  19. Which organization provides emergency loans to countries?

    • A. UN
    • B. Red Cross
    • C. IMF
    • D. WHO
  20. What is 'Yield'?

    • A. Loss
    • B. Income return on an investment
    • C. Price
    • D. Total cost