Page 36 - BUSINESS COMMUNIQUE ver. 2

ECO

✧ What is the primary function of money in an economy?

A)To act as a medium of C) To measure economic

exchange performance

B)To serve as a store D) To regulate inflation

value

✧ What is the concept of opportunity cost based on?

A) The monetary cost of an C) The total expenses of
alternative choosing an option

B) The benefits foregone of the D) The costs incurred in a
next best alternative production process

✧ Which of the following is considered a normative economic

statement?

A) The unemployment C) The inflation rate increased
rate is 6% by 2% last year

B) The government D) A decrease in interest rates leads
should provide free healthcare to an increase in borrowing

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