Economics Quiz-Chapter 5&6

Microeconomics is the study of the behaviour and decisions of households and __________, and the performance of individual markets.

Macroeconomics is the study of the __________ economy.

The three key allocation decisions in economics are __________, __________, and who recieve the products.

In a market economic system, resources are allocated through the __________ mechanism.

A __________ economic system is one where the government makes all the crucial decisions and owns most resources.

When demand for a product increases, its price will __________, leading firms to produce more of it.

Market __________ occurs when demand and supply are equal at the current price.

Workers in a labour-intensive industry rely more on __________ compared to capital.

Which of the following is a microeconomic topic?

• Changes in the country's unemployment rate

• Changes in the output of the car industry

• Changes in the national GDP

• Changes in the inflation rate

Who are the primary decision-makers (economic agents) in economics?

• Only households

• Only firms

• Households, firms, and government

• Only government