Glossary

Question 1

Social Sciences

Answer 1

Any academic

Question 2

microeconomics

Answer 2

The branch of economics that examines the behaviour of individual decision-making units, consumers and firms, is concerned with consumer and firm behaviour and how their interactions in market determine prices in goods and resource markets.

Question 3

macroeconomics

Answer 3

The branch of economics that examines the economy as a whole by use of aggregates, which are wholes or collections of many individual units, such as the sum of consumer behaviours and the sum of firm behaviours, total income and output of the entire economy as well as total employment and the general price level.

Question 4

scarcity

Answer 4

The condition in which available resources are limited, they are not enough to produce everything that human beings need and want.

Question 5

choice

Question 6

efficiency

Question 7

allocative efficiency

Question 8

equity

Question 9

economic well-being

Question 10

sustainability

Question 11

change

Question 12

interdependence

Question 13

intervention

Question 14

resources

Answer 14

factors of production, used by firms as inputs of in the production process.

Question 15

factors of production

Answer 15

land, labour, capital and entrepreneurship

Question 16

economics

Answer 16

The study of choices leading to the best possible use of scarce resources in order to best satisfy unlimited human needs and wants.

Question 16

opportunity cost

Answer 16

The value of the next best alternative that must be given up or sacrificed in order to obtain something else.

Question 17

free good

Question 17

For whom to produce

Question 18

What/How much to produce

Answer 18

How to produce

Question 18

How to produce

Question 19

Resource allocation

Question 20

distribution of income

Question 20

redistribution of income

Question 20

free market economy

Question 20

planned economy

Answer 20

An economy where all economic decision-making is carried out by government planning rather than reliance on prices determined by the market, to be contrasted with free market economy.

Question 21

mixed economy

Answer 21

Any economy that combines the command approach with the market approach to resource ownership, decision making and rationing.

Question 22

model

Question 23

Marginal Utility

Answer 23

The extra or additional utility recieved from consuming one more unit of a good.