Competency 2 - Economics Flashcards
economics
the social science that examines how people choose to use limited or scarce resources to obtain maximum satisfaction of unlimited wants
classical market
a market theory that suggests the market functions best with minimal government interference
keynesian market
a market theory that suggests economic output is strongly total spending in the economy, especially in the short run or through recessions
monetary market
a market theory that analyzes money in its functions as a medium of exchange, store of value, and unit of account
neoclassical market
a market theory that focuses on the determination of goods, outputs, and income distribution in markets through supply and demand
macroeconomics
the study of the exonomy as a whole; includes topics such as inflation, unemployment, and exonomic growth
microeconomics
the study of the individual parts that make up the economy; includes topics such as households, business firms, and government agencies