Republic of the Philippines

Department of Education
Region VI - Western Visayas
Division of Sagay City
Vito National High School - Senior High School
Purok Kulo, Brgy. Vito, Sagay City, Negros Occidental

GRADE 11 APPLIED ECONOMICS

1ST QUARTER PERIODICAL TEST

Name: Grade & Section: Score:

/40

GENERAL INSTRUCTION: Failure to follow instructions would be considered as incorrect answer.

I. INSTRUCTION: Read each item carefully and write the capital letter of your answer on the left side of the item
number.
1. The following statement supports the concept of ceteris paribus except:
a. All other things held constant c. As it should be
b. All else equal d. A device to analyze the relationship between two variables
2. Examine the following statements.
I. Microeconomics operates at the level of the individual business firm, as well as that of the individual consumer.
II. Microeconomics is the branch of economics that deals with the individual decisions of units of the economy: firms and households.
III. Microeconomics is the branch of economics that studies the relationship among broad economic aggregates.
a. True, True, True b. False, True, False c. True, False, True d. True, True, False
3. Arrange the following statements.
I. We can define economics as the efficient allocation of the scarce means of production toward the satisfaction of human needs and
wants.
II. We cannot produce everything that we want since there is scarcity or limitedness of resources.
III. The definition of economics contains an important phrase—scarce means of production— which refers to our economic resources
like land, labor, and capital.
IV. We do not have enough resources to produce all the goods and services that we desire.
a. l, Ill, IV, II b. l, Il, Ill, IV c. IV, Ill, Il, I d. I, IV, II, III
4. It refers to the basic and central economic problem confronting every individual and society.
a. Oikos b. Scarcity c. Nomos d. System
5. This broadly refers to all resources found in nature and are, therefore, not man-made.
a. Entrepreneurship b. Capital c. Labor d. Land
6. This refers to any form of human effort exerted in the production of goods and services.
a. Entrepreneurship b. Capital c. Labor d. Land
7. These are man-made goods used in the production of other goods and services.
a. Entrepreneurship b. Capital c. Labor d. Land
8. It refers to a person who organize, manages, and assumes the risks of a firm, develops a new idea or product, and turns it
into a successful business.
a. Entrepreneur b. Seller c. Marketer d. Human
9. It refers to the place where resources or the services of the resource suppliers are bought and sold.
a. Product Market b. Resource Market c. Households d. Business
10. It is the place where goods and services produced by businesses are bought by and sold to the households.
a. Product Market b. Resource Market c. Households d. Business
11. It refers to the productive and proper allocation of economic resources.
a. Economics b. Effectiveness c. Efficiency d. Equity
12. Which refers to the attainment of goals and objectives?
a. Economics b. Effectiveness c. Efficiency d. Equity
13. It refers to justice and fairness.
a. Economics b. Effectiveness c. Efficiency d. Equity

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14. It is the forgone value of what you give up when you make choices.
a. Market Economy b. Economic Opportunity c. Market Cost d. Opportunity Cost
15. Examine the following statements.
I. Macroeconomics focuses on the four sectors of the economy: aggregate household, business, government, and externals.
II. Among the topics discussed in macroeconomics are the principles of demand and supply and the elasticity of demand and supply.
III. Macroeconomics also discusses the measurement of gross national product and gross domestic product.
a. False, False, True b. True, True, False c. True, True, True d. False, False, False

16. It pertains to the quantity of a good or service that people are ready to buy at given prices within a given time period, when
other factors besides price are held constant.
a. Supply b. Demand c. Supply Function d. Demand Function
17. Examine the following statements:
I. Market pertains to the quantity of a good or service that people are ready to buy at given prices within a given time period, when
other factors besides price are held constant.
II. A wet market is where people usually buy vegetables, meat, fish, and other wet products. On the other hand, a dry market is where
people buy shoes, clothes, and other dry goods.
III. Market is where buyers and sellers meet. It is also the place where they both trade or exchange goods or services. In other words, it
is where their transactions take place.
a. False, True, True b. True, False, False c. False, True, False d. True, False, True
18. It refers to a graphical representation showing the relationship between price and quantities demanded per time period.
a. Supply Curve b. Demand Curve c. Supply Function d. Demand Function
19. It shows the relationship between demand for a commodity and the factors that determine or influence this demand
a. Supply Curve b. Demand Curve c. Supply Function d. Demand Function
20. It is generally understood as a “state of balance.”
a. Market b. Equilibrium c. Supply d. Demand
21. It refers to goods that are interchanged with another good.
a. Complementary Goods b. Supplementary Goods c. Merit Goods d. Public Goods
22. The goods that complement each other are known as_______________.
a. Complementary Goods b. Supplementary Goods c. Merit Goods d. Public Goods
23. The quantity of goods and services that firms are ready and willing to sell at a given price within a period, other factors
being held constant, is called _______________.
a. Supply b. Demand c. Supply Curve d. Demand Curve
24. It is a graphical representation showing the relationship between the prices of the product sold or the factor of production
and the quantity supplied per time period.
a. Supply b. Demand c. Supply Curve d. Demand Curve
25. It pertains to a balance that exists when quantity demanded equals quantity supplied.
a. Market Equilibrium b. Equilibrium c. Surplus d. Shortage
26. What do you call the condition in the market where the quantity supplied is more than the quantity demanded?
a. Market Equilibrium b. Equilibrium c. Surplus d. Shortage
27. It is a condition in the market where the quantity demanded is higher than the quantity supplied at a given price.
a. Market Equilibrium b. Equilibrium c. Surplus d. Shortage
28. What do you call the legal minimum price imposed by the government on certain goods and services?
a. Floor Price b. Ceiling Price c. Government Price d. Price Control
29. The legal maximum price imposed by the government is known as _______________.
a. Floor Price b. Ceiling Price c. Government Price d. Price Control
30. This is specification by the government of minimum or maximum prices for certain goods and services, when the
government considers existing prices disadvantageous to the producer or consumer.
a. Floor Price b. Ceiling Price c. Government Price d. Price Control
31. It is the responsiveness of consumers’ demand to a change in the price of the good sold.
a. Income Elasticity b. Price Elasticity c. Cross Price Elasticity d. Demand Elasticity
32. It is the degree of responsiveness of quantity demanded for a product in response to a given change in one of the
independent variables which affects the demand for that product.
a. Income Elasticity b. Price Elasticity c. Cross Elasticity d. Demand Elasticity
33. It is the responsiveness of consumers' demand to a change in their income.
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 a. Income Elasticity b. Price Elasticity c. Cross Elasticity d. Demand Elasticity

34. It is the responsiveness of consumers’ demand for a certain good, in relation changes in price of other related goods.
a. Income Elasticity b. Price Elasticity c. Cross Elasticity d. Demand Elasticity
35. What elasticity of demand would be exhibited in a situation where a nation is suddenly struck by an economic crisis,
affecting the jobs of everyone?
a. Income Elasticity of Demand c. Price Elasticity of Demand
b. Cross Elasticity of Demand d. None of the choices

II. INSTRUCTION: Choose and answer one of the following questions with a brief essay with at least 5 sentences.
36 – 40.
1. How does the Law of Demand and Supply affect the market?
2. How does equilibrium occur in the market?
3. How important is elasticity in the analysis of the market?