Problem Test Questions You have to READ the questions carefully to understand WHY you missed these questions.

Question 1 The government of China tells factory managers to increase their use of computers in manufacturing. What economic question is MOST affected by the government’s actions? What to produce For whom to produce How to produce When to produce Ask yourself: What is this question asking you? What is important in this question?

ANSWER 1 The government of China tells factory managers to increase their use of computers in manufacturing. What economic question is MOST affected by the government’s actions? What to produce For whom to produce How to produce When to produce Ask yourself: What is this question asking me? What’s important in this question?

Which of the following is NOT an example of economic decision making? Question 2 Which of the following is NOT an example of economic decision making? Using cost-benefit analysis Building simple models Writing a thesis statement Taking small, incremental steps Ask yourself: What is this question asking you? What is important in this question?

Which of the following is NOT an example of economic decision making? Answer 2 Which of the following is NOT an example of economic decision making? Using cost-benefit analysis Building simple models Writing a thesis statement Taking small, incremental steps Ask yourself: What is this question asking you? What is important in this question?

Answer 3 The fundamental problem of economics is: To establish an equitable system of personal and business taxation To establish a democratic political framework for the provision of social goods and services The scarcity of factors of production relative to the unlimited wants of humans To achieve a more equitable distribution of money income in order to mitigate poverty