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Factors of Production quiz #4

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  • What are two factors that helped the cattle business to grow?
    Abundant land and increased demand helped the cattle business grow.
  • Which channel member makes the product?
    The producer or manufacturer makes the product.
  • Which is a man-made resource? a. land b. crude oil c. tools d. entrepreneurship e. biomass
    Tools are a man-made resource (capital).
  • Which of the following are effects of an increase in the price of labor on the cost curves?
    An increase in labor price raises production costs and shifts cost curves upward.
  • What is the term for variables in an economy that cause a change in price or supply and demand?
    Determinants are variables that cause changes in price, supply, or demand.
  • Which situation best illustrates the concept of division of labor?
    Workers specializing in different tasks on an assembly line illustrate division of labor.
  • Which of the following is an economic characteristic of real property?
    Real property is a limited and valuable resource.
  • What is the most important factor that explains differences in living standards across countries?
    Differences in human capital and productivity explain living standard differences.
  • From the point of view of producers, what is the importance of factors of production?
    Producers rely on factors of production to create goods and services efficiently.
  • How can specialization lead to a division of labor for a business?
    Specialization allows workers to focus on specific tasks, increasing efficiency.
  • What is the term for unprocessed natural resources that are refined into end products?
    Raw materials are unprocessed natural resources.
  • The quantity of money supplied is:
    The quantity of money supplied is determined by central bank policy and market demand.
  • The decision-making unit of a purchasing organization is called its ________.
    The decision-making unit is called the buying center.
  • What are the two economic factors that reflect a country's attractiveness as a market?
    Resource availability and labor productivity reflect market attractiveness.
  • Which of the following correctly lists actors in a company's microenvironment?
    Suppliers, customers, and competitors are actors in a company's microenvironment.
  • A ______ can be defined as whatever people use to create services and goods.
    A resource can be defined as whatever people use to create services and goods.
  • Resources needed to provide goods or services are called?
    Resources needed are called factors of production.
  • Generally, _____________ you receive, the higher your lifetime earnings will be.
    Generally, the more education you receive, the higher your lifetime earnings will be.
  • If a specific economy has extra capital resources available, it will:
    It will be able to increase production and efficiency.
  • Improvements in the productivity of labor will tend to:
    Improvements in labor productivity will increase output and economic growth.
  • To generate higher profits, producers must work to:
    Producers must work to increase efficiency and reduce costs.
  • What are the 4 factors of production?
    Land, labor, capital, and entrepreneurship.
  • What are the four factors of production?
    Land, labor, capital, and entrepreneurship.
  • In order for the economy to be strong, individuals must _____.
    Individuals must be productive and efficiently use resources.
  • What are the 5 factors of production?
    Land, labor, physical capital, human capital, and entrepreneurship.
  • The people who work to produce goods and services are known as?
    They are known as labor.
  • Male drivers under 25 are charged for insurance at a higher rate because:
    They are statistically considered higher risk, affecting resource allocation in insurance.
  • What are the factors of production?
    Land, labor, capital, human capital, and entrepreneurship.
  • The work-related activities of a teacher and doctor fall under the resource category of?
    They fall under the labor resource category.
  • Suppliers are people or organizations that:
    Suppliers provide resources or inputs to producers.
  • What is the definition of capital in the context of the industrial revolution?
    Capital refers to machinery, factories, and equipment used to increase production.
  • Investment in physical capital is most likely to occur as a result of an increase in:
    Investment in physical capital increases with higher expected profits.
  • One consequence of automation is that producers need fewer:
    Producers need fewer labor resources due to automation.
  • The largest number of U.S. businesses employ:
    The largest number of U.S. businesses employ fewer than 20 workers.
  • Economic factors in decision making fall under the category of __________.
    They fall under the category of resources or factors of production.
  • Using raw materials to manufacture goods is an example of:
    It is an example of combining land and capital in production.
  • The labor force equals the:
    The labor force equals all people willing and able to work.
  • Which of the following is not among the factors that affect worker productivity?
    Time is not a direct factor affecting worker productivity.
  • Each worker learns one task very well. What is this called?
    This is called labor specialization or division of labor.
  • Farms, mines, and lumber companies are examples of:
    They are examples of primary activities using land resources.