Ben Has Been Thinking About Going into Business

question 94

Multiple Choice

Ben has been thinking about going into business. However, he has discounted entering automobile manufacturing because it

• A) requires little skill and knowledge.
• B) is not a part of the production industry.
• C) requires huge investments in machinery and equipment.
• D) is unprofitable.
• E) requires by law a corporate form of business.

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Definitions:

Inefficiently

In a manner that does not make the best or optimal use of resources, leading to waste or suboptimal outcomes.

Economic Growth

An increase in the production of economic goods and services, compared from one period of time to another.

Production

The process of combining various material inputs and immaterial inputs (plans, know-how) to make something for consumption.

Black Plague

A devastating global epidemic of bubonic plague that struck Europe and Asia in the mid-1300s, significantly reducing the world's population.