1 Flashcards
1
Q
What is a floating exchange rate
A
Value of pound can change (it’s not absolute)
2
Q
What does opportunity cost mean looking at
A
Your next best option
3
Q
What is a production possibility frontier
A
graph that shows all different combinations of output of two goods that can be produced when using available resources and technology to their maximum capacity
4
Q
Why is a PPF curved
A
Concept is marginal rate of transformation
5
Q
What are positive or negative correlations
A
Rates of change in things which move together
6
Q
What does a causal relationship imply
A
One thing leads to another
7
Q
What does normative position inform
A
Choice of issue to research
