Answer: A
Topic: Economic questions, what
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
29) Of the three major economic questions, which of the following is the best example of a "What?" question?
A) Should automobiles be produced using workers or robots?
B) Should higher-income or lower-income people buy SUVs?
C) Should we make faster microprocessors or pest-resistant corn?
D) Should migrant workers or domestic workers be used to pick grapes?
E) What should doctors be paid?
Answer: C
Topic: Economic questions, what
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
30) When Ford decides to increase production of hybrid cars, it directly answers the ________ question.
A) what
B) how
C) for whom
D) where
E) why
Answer: A
Topic: Economic questions, what
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
31) When Delta decides to quit flying to Lithuania, it directly answers the ________ question.
A) what
B) why
C) for whom
D) how
E) when
Answer: A
Topic: Economic questions, what
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
32) The question of "What goods and services get produced?" most closely relates to which of the following issues?
A) the distribution of goods and services in the economy
B) producing goods and services in the least costly manner
C) building a missile defense system, or putting a computer in every elementary school classroom
D) obtaining specialized training to increase one's income
E) taxing high income workers to give payments to poor households
Answer: C
Topic: Economic questions, what
Skill: Level 3: Using models
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
33) When a home builder decides to computerize all of its production schedules, it directly answers the ________ question.
A) for whom
B) what
C) where
D) how
E) why
Answer: D
Topic: Economic questions, how
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
34) When Fresh Express Salads decides to mechanically pick all of its lettuce, it directly answers the ________ question.
A) what
B) how
C) for whom
D) where
E) when
Answer: B
Topic: Economic questions, how
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
35) When the power company decides to use manpower to bury its lines, it directly answers the ________ question.
A) what
B) for whom
C) how
D) why
E) when
Answer: C
Topic: Economic questions, how
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
36) The question of "How are goods and services produced?" most closely addresses which of the following issues?
A) Should Ford build SUVs or luxury cars?
B) Should Ford use expensive industrial robots or inexpensive Mexican autoworkers to produce SUVs?
C) Should contractors build residential housing or shopping malls?
D) Is income distributed fairly in the United States?
E) Why are Christmas trees popular only in December?
Answer: B
Topic: Economic questions, how
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
37) Of the three major economic questions, which of the following is the best example of a "How?" question?
A) Should we produce more heavy fleece coats?
B) Should we collect tolls on turnpikes using human toll collectors or mechanized toll machines?
C) Should we build log homes or build factories from bricks?
D) Should we spend more on health care?
E) Should we eat more oatmeal?
Answer: B
Topic: Economic questions, how
Skill: Level 2: Using definitions
Section: Checkpoint 1.1
Status: Old
AACSB: Reflective thinking
38) Which economic question depends on the incomes that people earn and the prices they pay for goods and services?
A) What?
B) How?
C) For whom?
D) Why?
E) Where?