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AP Economics Practice Test

Free ap economics online practice tests to pass ap economics test. For ap economics practice exam you must go through real exam. For that we provide sample ap economics exam questions real test. We discuss in these ap economics questions from different topics like ap economics test, ap economics study material free download .

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In this test you have to answer ap economics self assessment exam. To get pass ap economics training you must answers correct. So Enjoy these ap economics certification review course to get enough knowledge for ap economics books free download attempt. You will get mock test answers after click submit button at bottom. If any question wrong just click on go back button to correct it. Easy Na!

AP Economics Practice Questions Free

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Q:1-Two countries are currently trading with each other. The countries agree to remove all trade restrictions on products traded between them. Which of the following is most likely to decrease?
Mark one answer:
The variety of goods available
The prices of imported goods
The quality of goods available
The amount of imported goods

Q:2-The owners of Grass Cutters, a lawn-mowing service, decide to purchase four additional mowers because demand for their services is increasing. The owners make this decision projecting that the output, total costs, and total revenues of their business will change in which of the following ways?Output Total Costs Total Revenues
Mark one answer:
Increase Increase Increase
Increase Increase Decrease
Increase Decrease Increase
Decrease Decrease Increase

Q:3-An entrepreneur is considering spending money on research to develop a more efficient way to produce a product. What is the most important factor in the decision on whether or not to spend this money?
Mark one answer:
The size of the plant needed to produce the product
The number of competitors producing a similar product
The increase in profit expected from producing the product
The degree to which consumers consider the product a necessity

Q:4-Which of the following best describes the amount of a product that people will continue to buy at a given price?
Mark one answer:
People will buy as many units as they can afford.
People will buy another unit unless its benefit is zero.
People will buy another unit as long as its benefit is positive.
People will buy another unit as long as its benefit is greater than its cost.

Q:5-If consumers from Country X greatly increase their purchases of products from Country Y, the value of these two countries' currencies relative to one another will change in which of the following ways?
Mark one answer:
The values of both countries' currencies will increase.
The value of Country X's currency will increase; the value of Country Y's currency will decrease.
The value of Country X's currency will decrease; the value of Country Y's currency will increase.
The values of both countries' currencies will decrease.

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Q:6-Willie loves ice-cream cones. He has found a store that sells ice-cream cones at a bargain price of $0.50 each. He has just eaten two of these cones but has decided not to buy a third one. Which of the following statements best explains the zconomic principle at work in Willie's decision not to buy a third cone?
Mark one answer:
Consumers weigh the additional costs and benefits before buying more goods.
Consumers spend freely to increase business activity so that the price of goods will drop.
Consumers save more by buying larger quantities.
Consumers buy more at lower prices.

Q:7-Which of the following has been most important in reducing poverty over time?
Mark one answer:
Taxes
Economic growth
International trade
Government regulations

Q:8-Which of the following fiscal policy combinations would a government most likely follow to stimulate economic activity when the economy is in a severe recession?
Mark one answer:
Increasing both taxes and spending
Increasing taxes and decreasing spending
Decreasing taxes and increasing spending
Decreasing both taxes and spending

Q:9-Jennifer receives a 2 percent increase in wages this year. The inflation rate is 4 percent. Which of the following is most likely to happen to Jennifer's financial situation?
Mark one answer:
She will have more income to spend and greater purchasing power.
She will have more income to spend and less purchasing power.
Her cost of living and her purchasing power will decrease.
Her cost of living and her purchasing power will increase.

Q:10-The most basic measure of the money supply in the United States consists of which of the following?
Mark one answer:
Gold certificates, silver certificates, and precious metals
Treasury bills, Treasury notes, and Treasury bonds
Credit card accounts, charge accounts, and savings accounts
Checking account deposits, paper currency, and coins


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