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“Economics is extremely useful as a form of employment for economists.”
John Kenneth Galbraith

How Much Do You Know About Economics?
Take our economics quiz to check your knowledge of economics in English.

1. Which one of the following definitions does NOT apply to economics.

  a) It is the study of how money works and how it is used.
  b) It is the art of making as much money as possible by exploiting workers and overpricing a product or service.
  c) It is asking people about their buying habits in order to decide whether or not a particular business activity will be profitable.

2. What is the opposite of economical?

3. Which one of the following definitions does NOT apply to finance.

  a) It is the study of money management.
  b) It is money which is lent for a particular purpose.
  c) It is the amount of interest a person or company pays on a loan.

4. What is the adjective of finance?

5. True or false? Economic and economical are both adjectives. We say that a car or a washing machine is economical, but we talk about the economic system or policy of a country.



6. The inflation rate is

  a) The percentage increase in the price of goods and services, usually annually.
  b) The annual percentage increase in the interest you pay the bank on a loan.
  c) The percentage increase in unemployment, usually annually.

7. The balance of payments is

  a) the amount of money available in an individual or a company bank account.
  b) the difference between the money that is coming into a country and the money that is going out.
  c) The amount of income tax a company has to pay the government at the end of the tax year.

8. A trade surplus is

  a) when a country exports goods or services at a higher cost than their market value.
  b) when a business over-orders from a supplier (orders more than it needs).
  c) when a country exports more than it imports.

The opposite of trade surplus is

  a) trade minus
  b) trade deficit
  c) trade under

10. In economics, GDP stands for

  a) Gross Domestic Product
  b) General Debit Payment
  c) Government Death Pension

Answers

A country’s economy is the organisation of its wealth-producing commerce and industry.
Example: Spain’s economy is much healthier now than it was five years ago.

Economy is also when you save money by spending very carefully.
Example: We print on both sides of the paper for reasons of economy.

The subject of Economics is the study of money, industry and trade in a society.
Example: I got my economics degree at Dublin University.

Economic is an adjective and means ‘related to the economy’.
Example: Economic growth in some African countries is very slow.

If something is economical it is relatively cheap to use.
Example: A Ford Escort is a lot more economical than a Mercedes sports.

The verb economise means to save money.
Example: If we don’t economise before the end of the year, we’re going to go over budget.

Choose the best word for each space.

1. What’s the situation like in Argentina?
2. If we don’t on petrol now, we’re going to have problems in the very near future.
3. When my daughter goes to university, she wants to study
4. The unstable political situation is Uganda has lead to an crisis.
5. I use rechargeable batteries because they are more
6. We can’t live on your salary unless we

Answers

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