Microeconomics

What is microeconomics?

• A value that will purchase a finite quantity, weight, or other measure of a good or service.

• The study of how people make things, and trade wealth, with limited resources

• Place where goods and services are bought and sold for a price

• The part of economics that deals with individual choices, when individuals are both humans and businesses

When you buy a game system and games together, this is an example of which economic concept?

• Complements

• Substitutions

• Elasticity

• Economics

When you buy a PlayStation instead of an X-Box because the price of the PlayStation went up, this is an example of what?

• Complements

• Substitutions

• Elasticity

• Economics

According to the _____, quantity demanded and price move in opposite directions.

• law of demand

• demand curve

• demand schedule

• market demand

In a ____, most economic decisions are made by individuals looking out for their own interests.

• free exchange

• market economy

• privatized economy

• socialist market

____ are rewards offered to try to get people to take certain economic actions.

• Profits

• Incentives

• Marginal benefits

• Trade-offs

What determines if an item's demand is elastic?

• If an item is on sale

• If an item continues to be bought, despite the rise in price

• If an item stops being bought because of a rise in price

• If an item is not on sale

A ____ system allows businesses to compete for profit with a minimum of government interference.

• Free Market

• Traditional

• Command

• Mixed

The graph below is an example of a

• Demand Schedule

• Demand Curve

• Supply Schedule

• Supply Curve

The following choices below are basic needs, except:

• Food

• Shelter

• Branded Clothing

• Water