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WGU Global Economics for Managers (C211, UZC2) Sample Questions:
1. What is one characteristic of a market surplus?
A) Quantity supplied exceeds quantity demanded
B) Price is below equilibrium
C) Quantity demanded exceeds quantity supplied
D) There is upward pressure on price
2. What are examples of variable costs? Choose two answers.
A) A 5% tax charged by the government on variable inputs
B) A $1,000 license fee charged by the state government to operate a shop
C) The monthly internet cost in a business that produces women's apparel
D) The rent paid by a magazine publisher for its creative team
E) The CEO's salary for a major manufacturing firm
F) The cost of the parts used in individual devices made by a computer manufacturer
3. How does the Federal Reserve lower the federal funds rate?
A) By purchasing government bonds
B) By raising reserve requirements
C) By selling government bonds
D) By increasing taxes
4. What is a characteristic of a market economy?
A) Resources are allocated through quotas.
B) Prices are fixed by the government.
C) Factors of production are privately owned.
D) Central planning determines production decisions.
5. What is a characteristic of a market economy?
A) Factors of production are government-owned or state-owned.
B) It found a near ideal in China and the former Soviet Union during the heydays of communism.
C) It is defined by a government taking the authoritative role in the economy.
D) The government takes a hands-off approach known as laissez-faire.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: A,F | Question # 3 Answer: A | Question # 4 Answer: C | Question # 5 Answer: D |






