Question 1 4.5 pts Economic principles deal with nding that allocation of limited A) that will B) satisfy our C) ends. Question 2 4.5 pts Societies, like individuals, have to make A) because their resources are B) while humand material needs and wants are C) Question 3 6 pts 1'he discipline of economics is that body of laws, theories and principles that people and societies use for finding that one best allocation of their A) . For the individual consumer, that one best allocation would be that which maximized his B) . For the individual fu'm, the best choice would be that which maximized its C) .And for the individual resource owner, it would he that which maximized his D) Question 4 1.5 pts Economists use A] to help in their analysis because the real world is too complex to fully comprehend. Question 5 4.5 pts The basic choices that any society must make are A) will be produced?, B) will it be produced? (Le, which recipe of resources will be used in the production process), and C) will it be produced? Question 6 3 pts The standard by which we assess the performance of a nation's economy is by the amount of A) it produces with its given endowment ofB) Question 7 3 pts Some countries, like the former A) , are rich in resources, but because they make poor choices suffer from a very low living standard. Other countries, such as B] , although poor in resources, en) oy a relatively high standard of living because they make good choices about how to use their resources. Question 8 10.5 ms Three basic models of economic organization are (use an; andsriu which they were covered in the lecture notes) A) , B] and C) . The type of economic organization that is of most interest to economists is D) . Economists are most interested in this type of system because the way it works is not as obvious as is the other two. The way this system works was rst successfully explained by E) in his great book F) , which was published in the year G) (cutenlmycar, don'tlook an rim mm bank). Question 9 3 pts There are seven basic capitalist institutions that help us understand the reason that a market system is so highly productive. Once the logic of the market is understood, it is clear that the key to the market system's productivity is that it converts A) into socially B] behavior. Question 10 10.5 pts The seven institutions around which a capitaiist (or market) system is. organized are: (use the order in which they were embarked in the Lecture Notes). A) B) C) D) E) F) G)