Intro to Business Chapter I Truc False ndicate whher te stemenr is true or e B- The most basic economic problem is referred to as mupply and demand 2. An individual's right to own a business, select a market to esaster, and produce with limised govemment direction is called private enterprise 3. Your right to private property imeans that you can own, use, and dispose of things of value 4 Governiments with market economies rarely enact laws to encourage competition. 5. Most needs and wants are satisfied with goods and services 6. Another ternn used in referring to human resources is eapital 7. Natural and capital resources are limited, but human resources are unlimited 8. Using the economie decision-making process cannot prevent unexpected results. 9. IEGDP increases each year, that is a sign of good economic health 10. Productivity is the measurement of the number of items produced per worker. 11. Depression is a phase of the business cycle where demand for goods and services begins to decrease. 12. During the recovery phase of the business cycle, unemployment begins to decrease and GDP begins to ri 13. Individual buying decisions have only a small influence on our economy 14. Prices are usually low if the materials from which goods are made are naturally searce. 15. It is possible to have fewer goods and services than others and still have a high quality of life. tiple Choice rify the choice that best completes the statement or answers the question 16. The govemment owns the businesses and controls the economy in a a. market economy b. command economy c. laissez-faire economy d. traditional economy Market economies are generally found in countries that have a form of government. a democratic b. communist 17. c. socialist d. patriarchal