Economics Flashcard

Front

What happens to the supply of vaccines when more producers enter the market?

Back

The supply of vaccines will increase.

Front

Who is the author of 'An Inquiry into the Wealth of Nations'?

Back

Adam Smith.

Front

What question can be answered by the criterion of Pareto efficiency?

Back

How much of a resource should be unused?

Front

How does a positive economist approach the question of increased taxes?

Back

They quantify the effects of taxation.

Front

What is the main purpose of economic models?

Back

To identify key assumptions.

Front

Define 'Supply' in economics.

Back

The total amount of a good or service available for purchase at any given price.

Front

What is 'Demand' in economics?

Back

The desire of consumers to purchase goods and services at given prices.

Front

Explain 'Pareto Efficiency'.

Back

A situation where resources are allocated in a way that no one can be made better off without making someone else worse off.

Front

What is the 'Law of Demand'?

Back

As the price of a good decreases, the quantity demanded increases, and vice versa.

Front

Define 'Elasticity of Demand'.

Back

A measure of how much the quantity demanded of a good responds to a change in price.