About this Study Set
This study set covers Economics through
25 practice questions.
This quiz tests foundational knowledge of economic principles and real-world applications, tailored for pre-teens. Every question includes the correct answer so you can learn as you go — pick any format above to get started.
Questions & Answers
Browse all 25 questions from the
Economic Foundations for Young Minds study set below.
Each question shows the correct answer — select a study format above to practice interactively.
1
What is the name for the total value of all goods and services produced in a country over a year?
-
A
National Debt
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B
Gross Domestic Product (GDP)
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C
Consumer Price Index (CPI)
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D
Balance of Trade
2
When a country produces more of a good or service than it can consume, and then sells the extra to other countries, this is known as:
-
A
Importing
-
B
Embargo
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C
Exporting
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D
Quota
3
Which of these is a primary function of a bank?
-
A
Printing money
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B
Setting interest rates for loans
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C
Storing money safely and lending it out
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D
Controlling the stock market
4
What economic concept describes the desire for goods and services that people want but cannot afford?
-
A
Scarcity
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B
Surplus
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C
Demand
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D
Supply
5
If a baker has a limited amount of flour to make bread, and many people want to buy bread, what economic problem is the baker facing?
-
A
Inflation
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B
Competition
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C
Scarcity
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D
Deflation
6
What is the name for the price of one country's money in terms of another country's money?
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A
Interest Rate
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B
Inflation Rate
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C
Exchange Rate
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D
Unemployment Rate
7
A business that is owned and run by one person is called a:
-
A
Partnership
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B
Corporation
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C
Cooperative
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D
Sole Proprietorship
8
When the prices of most goods and services in an economy rise over time, this is called:
-
A
Recession
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B
Depression
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C
Inflation
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D
Deflation
9
What is the name for the money that people or businesses earn from their work or investments?
-
A
Debt
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B
Profit
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C
Revenue
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D
Income
10
Which of the following is an example of a natural resource used in production?
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A
A factory
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B
A computer program
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C
Wood
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D
Money
11
When the quantity of a good or service that producers are willing and able to sell at a certain price is considered, this is:
-
A
Demand
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B
Scarcity
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C
Supply
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D
Shortage
12
What is the name for the difference between the value of a country's exports and the value of its imports?
-
A
Gross National Product
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B
Trade Balance
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C
National Income
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D
Fiscal Policy
13
A tax on imported goods is known as a:
-
A
Sales Tax
-
B
Income Tax
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C
Tariff
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D
Property Tax
14
What is the term for when a company makes more money from selling its products than it spent to make them?
-
A
Loss
-
B
Budget
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C
Profit
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D
Expense
15
Which of these represents 'capital' in economics?
-
A
Natural resources like land
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B
Money earned from sales
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C
Tools, machinery, and buildings used to produce goods
16
What is the main role of a central bank, like the Reserve Bank of Australia?
-
A
To manage a country's postal service
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B
To print all paper money and coins for circulation
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C
To control the nation's money supply and set interest rates
17
When people choose to buy fewer of one item because the price goes up, but buy more of another similar item, this is related to the concept of:
-
A
Supply and Demand
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B
Opportunity Cost
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C
Substitute Goods
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D
Complementary Goods
18
What is the term for the value of the next best alternative that is given up when a choice is made?
-
A
Profit
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B
Budget
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C
Opportunity Cost
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D
Investment
19
A government reducing its spending or increasing taxes to try and slow down an overheating economy is an example of:
-
A
Monetary Policy
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B
Fiscal Policy
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C
Trade Policy
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D
Labour Policy
20
What is the name for a system where prices are determined by the interactions of buyers and sellers, with minimal government interference?
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A
Command Economy
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B
Traditional Economy
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C
Market Economy
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D
Socialist Economy
21
When a business decides to produce more of a product because customers are asking for it, they are responding to:
-
A
Supply
-
B
Scarcity
-
C
Demand
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D
Surplus
22
What does the term 'unemployment rate' measure?
-
A
The percentage of people who are working
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B
The percentage of people who are looking for work but cannot find it
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C
The percentage of people who are retired
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D
The percentage of businesses that have closed
23
If a country imports more goods than it exports, it has a:
-
A
Trade Surplus
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B
Trade Deficit
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C
Balanced Trade
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D
Trade Embargo
24
What is the name for the economic system where the government owns and controls most of the means of production, like factories and land?
-
A
Capitalism
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B
Socialism
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C
Market Economy
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D
Mixed Economy
25
When a country or region specializes in producing goods and services that it can produce most efficiently and trades with others for goods it needs, this is called:
-
A
Protectionism
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B
Bartering
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C
Specialization and Trade
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D
Subsidy
