Basic Economic Concepts

Front

Which of the following does Economics primarily study? how scarcity can be eliminated, how firms manipulate prices, how government influences resource allocation decisions, the problem of scarce resources relative to human wants

Back

the problem of scarce resources relative to human wants

Front

What is the opportunity cost of one garlic bread?

Back

2 pizza slices

Front

If you decide to study an extra hour tonight, what would be the economic outcome?

Back

The marginal benefit of studying an extra hour exceeds its marginal cost.

Front

What does the fundamental problem of economics imply?

Back

Individuals and communities must make choices among competing alternatives.

Front

Mason decides to stay home and study for their exam rather than going out to a movie with their friends. Which of the following best reflects their dilemma? The economic perspective, Supply and Demand, Allocative efficiency

Back

Marginal analysis

Front

Refer to Graph 4-5. According to the graph, what are the equilibrium price and quantity?

Back

$5, 40.

Front

The author Adam Smith said the ______, would support the free market system through individual self-interest and freedom of production and consumption

Back

The Invisible Hand

Front

What are the three factors of production?

Back

Land, Labor and Capital