View a FREE sample

This test consists of 15 multiple choice questions and 5 short answer questions.

Multiple Choice Questions

1. The ordinary or average rates of wages, profit, and rent may also be called what?
(a) The common rates.
(b) The commodity rates.
(c) The natural rates.
(d) The derived rates.

2. How are a philosopher and a street porter the same?
(a) Their first six years of life would have been very similar.
(b) Their desire and motivations would be very similar.
(c) Their goals for life would be very similar.
(d) Their family life would be very similar.

3. What opens an even more extensive market to every sort of industry?
(a) Faster horses.
(b) Land-carriage.
(c) Water-carriage.
(d) Improved inland transporation.

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

5. What was one problem with the use of rude metals?
(a) Weighing them.
(b) Keeping them safe.
(c) Mining them.
(d) Transporting them.

6. According to the text, what does this saying describe: "Give me that which I want, and you shall have this which you want"?
(a) A fair trade.
(b) A business propostion.
(c) A bargain.
(d) A mutual offer.

7. What word expressed the weight or quantity of metal contained in the first coins?
(a) Stamp.
(b) Purity.
(c) Denomination.
(d) Fineness.

8. In the ancient world, what was considered a most wonderful and dangerous exploit of navigation?
(a) To not invoke the gods' blessings on the journey.
(b) To sail out of the Streights of Gibraltar.
(c) To sail down an unknown coast.
(d) To sail with a woman on board.

9. Under what circumstance would every man have to perform exactly the same duties and do exactly the same work?
(a) If there were no truck, barter, and exchange.
(b) If there were no organized society.
(c) If there were no manufacturers of commodities.
(d) If there were no difference of talent.

10. What is a common characteristic for a workman under division of labor?
(a) Every workman has increased purchasing power.
(b) Every workman has the means to improve himself.
(c) Every workman produces more than he needs.
(d) Every workman is equal to every other workman.

11. Which occupation requires a great town?
(a) Poet.
(b) Farmer.
(c) Butcher.
(d) Sailor.

12. What is the common instrument of commerce and exchanges in Virginia?
(a) Salt.
(b) Shells.
(c) Tobacco.
(d) Sugar.

13. Which is not a reason for the increase of the quantity of work under division of labor?
(a) The invention of machines which enable one man to do the work of many.
(b) The increase of the workmen's dexterity.
(c) The employment of more workmen.
(d) Time efficiencies.

14. What kind of revenue is made from the interest on money?
(a) Taxable revenue.
(b) Renewable revenue.
(c) Derivative revenue.
(d) Laborless revenue.

15. What kind of rent comes to the landlord after deducting the expense of management, of repairs, and all other necessary charges?
(a) Gross rent.
(b) Net rent.
(c) Production rent.
(d) Consumption rent.

Short Answer Questions

1. What limits the extent of the division of labor?

2. What kind of demand brings a commodity to market?

3. What does the text say about the difference of the natural talents in men?

4. In all countries, what do men prefer in exchange for commodities?

5. Why are the silks of France better and cheaper than those of England?

(see the answer keys)

This section contains 612 words (approx. 3 pages at 300 words per page) View a FREE sample