A. Scarcity

Question 1

Microeconomics

Answer 1

focuses on individual decision-making units and how they interact

Question 2

Macroeconomics

Answer 2

explores the economy as a whole

Question 3

Scarcity

Answer 3

the fixed amount of goods or services available

Question 4

Traditional economy

Answer 4

an economic system in which traditions, customs, and beliefs help shape the goods and services the economy produces, as well as the rule and manner of their distribution also referred to as a subsistence economy, a traditional economy is defined by bartering and trading

Question 5

Command economy

Answer 5

an economic system in which the means of production are publicly owned and economic activity is directed by a central government or portion of the government

Question 6

Market economy

Answer 6

an economic system in which the forces of supply and demand determine what goods and services are produced

Question 7

Mixed economy

Answer 7

an economy which practiced characteristics of both command and market economies; supply and demand largely influence the economy, but there is government intervention to meet certain economic goals