Economics Quiz Questions and Answers

1

What type of financial fraud was Bernie Madoff famous for?

▼

A

Insider trading

B

Money laundering

C

Ponzi scheme

D

Tax evasion

2

Approximately how much money was involved in Madoff's fraud?

▼

A

100 million

B

65 billion

C

10 million

D

5 billion

3

What was Bernie Madoff's primary professional background?

▼

A

Tech entrepreneur

B

Bank teller

C

Real estate mogul

D

Stockbroker

4

Who did Madoff primarily target for his investments?

▼

A

Only foreign central banks

B

Only government agencies

C

Individual and institutional investors

D

Only local small businesses

5

What is the key mechanism of a Ponzi scheme?

▼

A

Selling high-quality government bonds

B

Investing solely in physical gold

C

Using new investor money to pay older investors

D

Providing legitimate dividends from profits

6

In which city was Madoff's investment firm based?

▼

A

London

B

Zurich

C

Chicago

D

New York

7

How long did Madoff's scheme last?

▼

A

Decades

B

Six months

C

Two years

D

One week

8

When did the Madoff scheme finally collapse?

▼

A

1980

B

2008

C

1929

D

2020

9

What did Madoff admit to doing regarding his trades?

▼

A

Focusing only on crypto

B

Only trading on weekends

C

Never actually making the trades

D

Executing them perfectly

10

Who was the primary regulator that missed the Madoff fraud?

▼

A

SEC

B

IRS

C

NASA

D

FBI

11

What happened to Bernie Madoff after his conviction?

▼

A

He escaped to another country

B

He was sentenced to prison

C

He became a financial advisor

D

He was acquitted

12

What was the main allure of Madoff's fund?

▼

A

Guaranteed lottery wins

B

Extremely high risk

C

Free membership

D

Consistent, steady returns

13

The Madoff scandal is considered the largest what in history?

▼

A

Merger

B

Financial fraud

C

Bankruptcy

D

Charity drive

14

Who exposed the Madoff scheme?

▼

A

His own sons

B

A rival hedge fund

C

A newspaper editor

D

The government

15

What term describes the type of fraud where early investors are paid with new capital?

▼

A

Arbitrage

B

Diversification

C

Ponzi scheme

D

Short selling

16

What is the primary indicator of price increases in an economy?

▼

A

Unemployment

B

GDP growth

C

Trade balance

D

Inflation

17

Which of these is a common cause of high inflation?

▼

A

Stable currency

B

Too much savings

C

Excessive money supply

D

Low government debt

18

What does a devaluing currency do to import prices?

▼

A

Keeps them constant

B

Eliminates them

C

Increases them

D

Lowers them

19

Structural problems in an economy often relate to?

▼

A

Deep-rooted production inefficiencies

B

Temporary weather patterns

C

Daily stock market shifts

D

Social media trends

20

High inflation reduces the ________ of money.

▼

A

Weight

B

Purchasing power

C

Color

D

Physical size

21

Which sector is often affected by Turkey's dependence on energy imports?

▼

A

Only agriculture

B

Inflation levels

C

Education

D

Tourism only

22

Central banks usually fight inflation by doing what?

▼

A

Lowering taxes

B

Increasing interest rates

C

Printing more money

D

Giving away cash

23

What is a 'current account deficit'?

▼

A

Importing more than exporting

B

Zero debt

C

Exporting more than importing

D

Having a balanced budget

24

What happens to consumer prices when inflation is high?

▼

A

They become free

B

They drop rapidly

C

They rise

D

They stay the same

25

Which factor often contributes to inflation in Turkey?

▼

A

Too many exports

B

Excessive labor productivity

C

Exchange rate volatility

D

High gold reserves

26

Fiscal discipline helps to?

▼

A

Stop all trade

B

Increase inflation

C

Control inflation

D

Ignore the budget

27

What is the role of a Central Bank?

▼

A

To build roads

B

To run schools

C

To sell homes

D

To manage monetary policy

28

Uncertainty in an economy leads to?

▼

A

Instant growth

B

Lower investment

C

Price stability

D

Higher investment

29

What are 'fixed costs' in a business?

▼

A

Only taxes

B

Costs that never change

C

Variable expenses

D

Costs that change daily

30

Economic stability requires?

▼

A

Predictable policies

B

No central bank

C

High debt levels

D

Constant chaos

31

Which model is associated with the Nordic countries?

▼

A

Market-only model

B

Continental model

C

Scandinavian model

D

Liberal model

32

What is a key feature of the Scandinavian welfare model?

▼

A

No social security

B

Privatized public services

C

Universal healthcare and education

D

Low taxes

33

The Liberal welfare model emphasizes which of the following?

▼

A

High state intervention

B

Free housing for all

C

Complete equality of income

D

Market-based solutions

34

Continental European models often rely on what?

▼

A

Zero social spending

B

Purely voluntary charity

C

Stock market profits

D

Social insurance tied to employment

35

What does 'Universalism' mean in welfare systems?

▼

A

Services for everyone

B

Only for the poor

C

Only for the rich

D

Only for the elderly

36

Which country is a classic example of the Liberal model?

▼

A

Norway

B

Sweden

C

United States

D

Germany

37

What is a common critique of the Scandinavian model?

▼

A

It is too cheap

B

High tax burden

C

Lack of schools

D

Poor healthcare

38

In a Liberal model, social assistance is usually?

▼

A

A state monopoly

B

Non-existent

C

Means-tested

D

Universal

39

The Continental model is also known as?

▼

A

Agrarian

B

Anarchist

C

Free-market

D

Corporatist

40

Which country often represents the Continental welfare model?

▼

A

Germany

B

Denmark

C

Canada

D

Australia

Economics Quiz Questions and Answers

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