View a FREE sample

This quiz consists of 5 multiple choice and 5 short answer questions through End of Book 3 & Book 4, Chapter 1.

Multiple Choice Questions

1. What kind of demand brings a commodity to market?
(a) A proportionate demand.
(b) An absolute demand.
(c) A natural demand.
(d) An effectual demand.

2. What was one consequence when the German and Scythian nations overran the western provinces of the Roman empire?
(a) The inhabitants were made slaves.
(b) The towns were razed.
(c) The inhabitants immgrated to other countries.
(d) The country was left uncultivated.

3. What kind of capital is employed in raising, manufacturing, or purchasing goods, and selling them again with a profit?
(a) Fixed capital.
(b) Circulating capital.
(c) Instrumental capital.
(d) Improving capital.

4. What does the interest rate on borrowed money need to be to prevent usury?
(a) The rate needs to be half the lowest market price.
(b) The rate needs to be somewhat below the lowest market price.
(c) The rate needs to be somewhat above the lowest market price.
(d) The rate needs to be equal to the lowest market price.

5. What is a consequence of replacing gold money with paper money?
(a) It promotes a new industry.
(b) It allows for more buying power.
(c) It costs less both to erect and to maintain.
(d) It allows for increased wages.

Short Answer Questions

1. What is one consequence for society where the division of labor is practiced?

2. What is one consequence of marketplace competition?

3. What is one characteristic of the Mediterranean Sea which made it favorable for infant navigation?

4. Where do a merchant's or retailer's profits come from?

5. What kind of capital is employed in the improvement of land and in the purchase of useful machines and instruments of trade?

(see the answer key)

This section contains 331 words (approx. 2 pages at 300 words per page) View a FREE sample