Video stores like Blockbuster and Family Video used to be commonplace in cities across the United States. As different options like Redbox and Netflix entered the market, consumers shifted their interests in response as they adapted to the competitors. Which of the following forces affecting markets does this best represent?

Multiple Choice

• market expansion
• mixed economies
• incomplete information
• monetary influences
• consumer sovereignty

Which economic system originated with Karl Marx in the nineteenth century?

Multiple Choice

• capitalism
• communism
• autocracy
• monarchy
• socialism

Which factor of production includes the buildings and tools that are used to produce goods and services?

Multiple Choice

• capital
• natural resources
• human resources
• entrepreneurship
• knowledge

There are many health food stores in Moses's community, but only one in his neighborhood, so he frequents that one. What kind of market does this store face?

Multiple Choice

• monopolistic competition
• perfect competition
• oligopoly
• monopoly
• imperfect competition

The U.S. government thinks that the country is at risk of inflation. Which of the following options would be its most appropriate course of action?

Multiple Choice

• decrease the tax rate
• raise interest rates
• lower the consumer price index
• reduce the money supply
• increase the producer price index

The country has been in a recession, but the end appears to be in sight. Analysts have been predicting a rise in government and investment spending in the next quarter. This country is most likely in which of the following stages of the business cycle?

Multiple Choice

• recovery
• contraction
• peak
• expansion
• trough