Refers to the transformation of resources like land, labor, capital and entrepreneur into goods and services.

Goods include all tangible items, except:

The following choices below are basic needs, except:

Refer to the study of the economic behaviour of individual components like industries, firms, and households.

Refers to all plots of ground and other natural resources used in the production of goods and services.

It is the main reason why there is a study of microeconomics.

Among them are famous economist, except:

The following are the factors of production, except:

A major player in the economics whose main function is to consume goods and services

Refers to the condition that all resources are available only in limited supply.

It is a kind of commodity which refers to tangible object (e.g. cars, clothes, shoes, book and many more).

It is the price, quantity and total price of each consumption possibility and the grand total for the entire shopping list.

Refers to all facilities and other technological resources used in the production of goods and services.

In the purely competitive analysis, there were two different models, one model for the industry, in which the interaction of supply and demand established the market price and quantity.

The demand for all productive resources is a derived demand.

By derived demand it is meant that it is the output of the resource and not the resource itself for which there is a demand by its employer.

The marginal product (MP) of a productive resource is the change in total output where ▵TP (▵ means change) attributable to the employment of one more unit of that

The greater the rate of decline of the MRP schedule the more inelastic the demand for the factor production, and the lesser the rate of the decline in MRP the more elastic the demand for the factor

Monopsony is one buyer of a resource (or product) and cause factor payments (or prices) to be below the competitive equilibrium.

Monopoly power in the product market will also impact the factor markets.

A monopsony is one buyer of something.

The minimum wage acts the same as an effective price floor in that it creates a surplus of labor -- unemployment.

The academic significance of the indeterminant nature of this model is the lack of an ability to predict wages and employment levels is why industrial relations developed as a separate field from economics (in large measure).

Market structure alone does not account for all of the variations in wages and employment.

Economics is the study of the ALLOCATION of SCARCE resources to meet UNLIMITED human wants.

The problem of unlimited desires and limited resources is the problem of

When economists look at supply and demand schedules and/or supply and demand curves, what are the only two variables examined?

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

A breakthrough in nanotechnology allows silicon chips for computers to be produced much more quickly and cheaply. If demand for computers remains unchanged, what will be the effect upon market price and supply?

Beef is a normal good and people's incomes fall. At the same time a bumper corn crop reduces the cost of feeding steers. These changes result in

If a good is “normal,” then an increase in income will result in

Suppose that demand decreases AND supply decreases. What would you expect to occur in the market for the good?

The meeting of buyers (customers) and seller (suppliers). It could be through online, any brick and mortar establishment, or any forms where the 2 parties buy and sell.

Refers to goods, services, events, or anything that is sold and bought in the market.

Is the product that customers are willing and able to buy at a given price in a specific period. It should be both willing and able in a sense that customers wants or finds the product of value and at the same time has the capability to pay for it at the given price.

Defined as “other things being equal, as price decreases the quantity demanded rises, and as price increase the quantity demanded decreases.

Do not forget the other things being equal statement or also called “asterisk paribus assumption”

This describes consumer’s attitude or desire towards a product.

If the price of a good is expected to fall, however, people are likely to reduce their purchases today and await tomorrow’s lower prices.

as the income of a consumer rises, he/she will prefer to buy products that he/she perceived to have better quality or gives higher level of satisfaction like buying freshly brewed coffee instead of instant coffee.

Supply is the product (goods and services) that producers are willing and able to sell at a price at a given period.

There is a direct relationship between price and quantity of product being supplied in the market.

A change in the price of labor or some other factor of production will change the cost of producing any given quantity of the good or service.

The increase of taxes could increase cost thus it decrease supply.

Example, the owners of oil deposits. Oil pumped out of the ground and used today will be unavailable in the future. If a change in the international political climate leads many owners to expect that oil prices will rise in the future, they may decide to leave their oil in the ground, planning to sell it later when the price is higher.

To produce one good or service means forgoing the production of another. The concept of opportunity cost in economics suggests that the value of the activity forgone is the opportunity cost of the activity chosen; this cost should affect supply.

Outlawing the use of certain equipment without pollution-control devices has increased the cost of production for many goods and services, thereby reducing profits available at any price and shifting these supply curves to the left.

A change in the price of the product itself is not among the factors that shift the supply curve.

The higher the price, the higher the demand for a certain product?

The higher the price, the higher the supply needed for a certain product?

When resources are not full utilized, we call it

Economics can be divided into two major branches which is

Should a professional athlete who earns millions of dollars per game bother to pick up loose change from the ground?

The economic system that uses the market to distribute goods and services as well as resources is

What is the primary goal of the Philippine government despite facing scarcity in resources and money supply?

What is the meaning of opportunity cost?

Project Y produces PHP15,000 in revenue for a month. Project Y also incurs a cost of PHP14,700. Thus the net benefit is

What is the term used to describe the additional benefit obtained from an economic activity compared to the additional cost incurred?

The Production Possibility Frontier is drawn in

The Production Possibility Frontier is concave due to

Rich countries focus on the purchase of more ___________goods to ensure economic growth.

Peter decided to take time off to visit the zoo. Peter’s opportunity cost would be

According to Comparative Advantage Theory, trade can take place when a country incurs the/- _________ opportunity cost in producing a good compared to another country.

Ali was given a scholarship to pursue his education in UMS. The education that Ali is going to receive is not considered free because

Man’s needs required for survival

The desires and needs of consumers that have to be satisfied

It also known as the price theory

It pertains to the national income analysis

The payment for the use of land

It corresponds to the price of capital

Inputs used in production

Another term used for “equilibrium

It refers to man’s mental and physical efforts exerted in production

It is considered as a basic consuming unit

The system in which market prices serve as signal to the producers about what goods to produce and how much of these goods should be produced

The economic system in which production decisions are made according to customs and traditions

“The brains” behind the business

If the price of pork increases, supply will_____

A decrease in income shifts the demand curve to the

Father of Economics

Laborer is the planner, organizer and coordinator of the other factors of production

Diminishing MU is also known as the law of diminishing marginal productivity

Average Product is output per unit of the variable resource input

Revenue also known as income

Potential increase in the consumption of two commodities is substitution effect

Perception is a descriptive thought that a person holds about something

Profit maximization or loss minimization is determined at a point where MR is equal MC

Industry that enjoys pure profit

No advertising cost

Seller takes the role of a price taker

During short run period, and efficient firms and other forms enjoy pure profits.

To prevent a firm shutting down in the short run, it must

Point of Profit Maximization