Introduction to Microeconomics

What does the production possibilities curve illustrate?

• Inflation rates

• Market equilibrium

• Opportunity cost

• Economic growth

Which of the following is a basic concept of economics?

• Astrophysics

• Quantum physics

• Supply and demand

• Genetic engineering

What is the primary focus of microeconomics?

• Government policies

• Individual markets

• National income

• Global trade

Which term refers to the economic system where resources are allocated by the government?

• Feudalism

• Anarchism

• Socialism

• Capitalism

What is the difference between microeconomics and macroeconomics?

• Micro focuses on individual units, macro on the economy as a whole

• Micro is about global trade, macro is about local markets

• Micro deals with government policies, macro with individual choices

• Micro is theoretical, macro is practical

Which of the following is NOT a characteristic of an economic system?

• Distribution of goods

• Cultural beliefs

• Resource allocation

• Production methods

What does the term 'economic overview' refer to?

• A historical perspective on economics

• A forecast of future trends

• A detailed analysis of a specific market

• A summary of economic conditions

Which of the following concepts is related to opportunity cost?

• Market failure

• Consumer surplus

• Trade-offs

• Price elasticity

What is the main concern of macroeconomics?

• Inflation and unemployment

• Consumer preferences

• Individual business profits

• Household spending

Which of the following best describes 'micro vs macro'?

• Different types of economic theories

• Different levels of economic analysis

• Different historical periods in economics

• Different geographical focuses in economics