BEC Economic Theory review 1

Card Set Information

Author:
Joens1313
ID:
299455
Filename:
BEC Economic Theory review 1
Updated:
2015-03-29 15:59:21
Tags:
BEC Economic Theory review
Folders:

Description:
BEC Economic Theory review 1
Show Answers:

Home > Flashcards > Print Preview

The flashcards below were created by user Joens1313 on FreezingBlue Flashcards. What would you like to do?


  1. What is Economics?
    The study of the allocation of scarce resources among alternative uses.
  2. What is Microeconomics?
    The study of the decisions that individual units (people, households, businesses,) make when using limited resources to maximize satisfaction
  3. What is Macroeconomics?
    The study of the decisions that community (towns, cities, nations,) make when using limited resources to maximize social welfare
  4. What does economics assume, in general?
    Economics assumes unlimited human wants and limited resources to satisfy those wants
  5. What questions do economic systems answer?
    1. What is produced

    2. How much is produced

    3. How is it produced
  6. For the Law of Demand, how are price and quantity related?
    Price and quantity are related inversely, that is the lower the price the higher the demand
  7. The demand for normal goods has a ----------- relationship to income.
    The demand for normal goods has a positive relationship to income.
  8. For normal goods, as income increases the demand for normal goods ---------------, as income decreases the demand for normal goods -------------------.
    For normal goods, as income increases the demand for normal goods increases, as income decreases the demand for normal goods decreases.
  9. For normal goods, as income ------------------- the demand for normal goods increases, as income ----------------- the demand for normal goods decreases.
    For normal goods, as income increases the demand for normal goods increases, as income decreases the demand for normal goods decreases.
  10. The demands for inferior goods has a ----------- relationship to income.
    The demands for inferior goods has a negative relationship to income.
  11. For inferior goods, as income --------------- the demand for inferior goods increases, as income -------------------------, the demand for inferior goods decreases.
    For inferior goods, as income decreases the demand for inferior goods increases, as income increases, the demand for inferior goods decreases.
  12. For inferior goods, as income decreases the demand for inferior goods ----------------------, as income increases, the demand for inferior goods ------------------------.
    For inferior goods, as income decreases the demand for inferior goods increases, as income increases, the demand for inferior goods decreases.

What would you like to do?

Home > Flashcards > Print Preview