8. Capital as a factor in making goods and services includes all the productive inputs created by people, including tools, machines, buildings, and intangibles like software.

• a. True
• b. False

9. For economists, opportunity cost is simply the out-of-pocket expenses to buy and use a good or service.

• a. True
• b. False

10. Which of these is NOT listed as one approach to increasing production potential?

• a. Investment in capital
• b. Increasing resource supplies
• c. Consumption of goods and services
• d. Entrepreneurship

11. Population growth, discovering natural resources, investment in capital, and entrepreneurship are sources of greater production potential.

• a. True
• b. False

12. In the two main branches of economics, microeconomics means large choices and macroeconomics means small, less relevant choices.

• a. True
• b. False

13. Microeconomics examines decisions from which view point?

• a. Global interactions of choices
• b. A sociological perspective
• c. Individual choices
• d. Government commands for all