Department of Education

Region VII, Central Visayas

Division of Bohol
Catigbian District
MANTACIDA NATIONAL HIGH SCHOOL

Midterm Examination in
APPLIED ECONOMICS 12
(S.Y. 2023-2024)
Name: ______________________________ Score: ______________
Year & Sec:__________________________ Date: ______________
Teacher: Ms. Anabel A. Bahinting Parent/Guardian: ______________
Signature: ______________
I. MULTIPLE CHOICE
Instructions: Read each item carefully and shade the circle which corresponds to the letter of your answer in
the answer sheet.
1. It is a science which studies human behavior as a relationship between ends and scarce means.
a. Chemistry b. Economics c. Physics d. Sociology
2. These are based on physiological, personal, or socio-economic requirements necessary for you to function
alive.
a. Economy b. Needs c. Resources d. Wants
3. The following are examples of basic human needs except _____________.
a. Clothing b. Food c. Money d. Shelter
4. It is made up of all the tools and machineries used to produce a good or service.
a. Labor b. Land c. Capital d. Entrepreneur
5. It includes all of the work that laborers and workers perform at all levels of an organization.
a. Labor b. Land c. Capital d. Entrepreneur
6. A group of academic disciplines that examine society and how people interact and develop as culture.
a. Allied Science b. Applied Science c. Physical Science d. Social Science
7. Applying the economics theories and practices makes it a/an _________.
a. Allied Science b. Applied Science c. Physical Science d. Social Science
8. The study of economics as a whole economy.
a. Bi-economics b. Macroeconomics c. Microeconomics d. Poly-economics
9. The study of economics as an individual economy.
a. Bi-economics b. Macroeconomics c. Microeconomics d. Poly-economics
10. Who said that economics is “the queen of the social sciences”?
a. Backhouse b. Jean-Baptiste c. Maslow d. Samuelson
11. It is a restricting condition experienced by millions of families that prevents them in attaining the minimum
level of consumption for subsistence living.
a. Food Security b. Infrastructures c. Poverty d. Unemployment
12. This refers to the lack of income to buy the basic food and necessities for subsistence living.
a. Absolute poverty b. Common poverty c. Millennial poverty d. Relative poverty
13. This refers to the structures on how the national income is being distributed among households in an
economy.
a. Absolute poverty b. Common poverty c. Millennial poverty d. Relative poverty
14. The following are ways in solving the problem of absolute poverty except_______.
a. Provide free meals c. Provide income generation program
b. Provide housing d. Provide adequate clothing
15. Which of the following initiatives increase the productivity of the agricultural sector?
a. Invest irrigation facilities c. Construction of farm to market roads
b. Provide cheap fertilizers and inputs d. All of the above
16. Enhancing the productivity of the agricultural sector can contribute to the achievement of ___________.
a. Employment b. Food Security c. Poverty reduction d. Taxability
17. How to increase productivity of agriculture?
a. Providing sufficient resources c. Increasing the income of farmers
b. Cultivating a variety of agricultural crop d. All of the above
18. How does infrastructure fuel economic growth?
a. Building bridges c. Network in transportation
b. Construction of roads d. All of the above
19. Sufficient infrastructure has debilitating effects on households.
a. True b. Either A or B c. False d. No Answer
20. What is the major reason for inadequate expansion of infrastructure?
a. Enough supply of electricity c. Insufficient funds
b. Increasing inflation rate d. Imposing travel restrictions
21. It is an economic principle that describes a consumer’s desire and willingness to pay price for a specific
good or service.
a. Demand b. Supply c. Law of Demand d. Law of Supply
22. It is an economic concept that describes the total amount of a specific good or service that is available to
consumers.
a. Demand b. Supply c. Law of Demand d. Law of Supply
23. If income decreases, demand __________.
a. Decreases b. Steady c. Increase d. Either A or B
24. When two goods are compliments, there is a/an _________ relationship between the price of one good
and the demand for the other good.
a. Direct b. Parallel c. Inverse d. Straight
25. Which of the following is NOT a factor that influence the supply of a product?
a. Cost of production b. Income c. Price d. Technology
26. It implies that the different policies of government, such as fiscal policy and industrial policy.
a. Government policy b. Inflation c. Natural condition d. Transport
Condition
27. It implies that climatic conditions directly affect the supply of certain products.
a. Government policy b. Inflation c. Natural condition d. Transport condition
28. A graphical representation of the relationship between the price of a good or service and the quantity
demanded for a given period of time.
a. Demand Curve b. Demand Schedule c. Supply Curve d. Supply Schedule
29. When the quantity demanded and quantity supplied are equal, it is called _____.
a. Demand Equilibrium b. Equilibrium c. Price Equilibrium d. Supply Equilibrium
30. Equilibrium price and quantity are determined by the intersection of __________.
a. Demand and Price b. Market and Price c. Supply and Price d. Supply and
Demand

II. MODIFIED TRUE OR FALSE

Instructions: Write TRUE if the statement is correct. If false, change the word/words with the correct term to
make the statement correct.
_________________31. When the quantity demanded is greater than the quality supplied, there will be a
product
surplus.
_________________32. In order to ration product shortage, producers would demand a lower price in order to
bring more product to the market.
_________________33. When exchange occurs, the agreed upon price is called disequilibrium price.
_________________34. Lower duty and tariff increase the price and vice versa.
_________________35. Economics as an applied science deals with the analysis on how members of a
society
interact with one another on the creation or utilization of wealth.
_________________36. Economics is a social because it deals with human behavior.
_________________37. If the of a product increase, then the supply of the product decreases and vice versa.
_________________38. Prices of substitutes and complementary goods also cannot affect the supply of a
product.
_________________39. Transport is always a constraint to the supply of products, as the products are not
available on time due to poor transport facilities.
_________________40. Climatic conditions indirectly affect the supply of certain products.