Economics Chapter 1 & 2

The study of how society manages its scarce resources is called scarcity.

• true

• false

Economics is the limited nature of society's resources

• True

• False

Equality is the property of society getting the most it can from its scarce resources

• True

• False

The property of distributing economic prosperity uniformly among the members of society is called equality

• True

• False

Whatever must be given up to obtain some item is called efficiency

• True

• False

Opportunistic people are people who systematically and purposefully do the best they can to achieve their objectives

• True

• False

A small incremental adjustment to a plan of action is called opportunity cost

• True

• False

The ability of an individual to own and exercise control over scarce resources is called property rights

• True

• False

Productivity is an increase in overall level of prices in the economy

• True

• False

Business cycle is the fluctuations in economic activity, such as employment and production

• True

• False