Brainscape's Knowledge GenomeTM


Top Flashcards (Certified)
All Flashcards

Micro Economics > Lesson 7 > Flashcards

Lesson 7 Flashcards

(49 cards)

Start Studying
1
Q

CHAPTER 7

A

REAADY!!!

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

The word “____” is often encounteres in our daily lives when there are discussions about loan and earnings.

A

Interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

In economics, interest is used in two ways:

A

Price of the Credit
Return that capital earns

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Is often refereed to as loanable funs

A

Price of the Credits

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

____ it is that capital earns as an input in the production process.

A

Return

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

_____ are the amounts of money lent out by one individual (lender) to another, called a____.

A

Loanable Funds
Borrower

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

The _____ would pay an interest interest rate to the lender for the use of that fund.

A

Borrower

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

___ is defined as a payment for the immediate use of money.

A

Interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

____ affect the level of production of investment goods.

A

Interest Rates

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

_______ Is determine by the deman for supply of money available as loanable funds.

A

Interest Rate

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

The word “____” is often encounteres in our daily lives when there are discussions about loan and earnings.

A

Interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

In economics, interest is used in two ways:

A

Price of the Credit
Return that capital earns

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Is often refereed to as loanable funs

A

Price of the Credits

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

____ it is that capital earns as an input in the production process.

A

Return

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

_____ are the amounts of money lent out by one individual (lender) to another, called a____.

A

Loanable Funds
Borrower

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

The _____ would pay an interest interest rate to the lender for the use of that fund.

A

Borrower

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

___ is defined as a payment for the immediate use of money.

A

Interest

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

____ affects the level of production of investment goods.

A

Interest Rates

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

_______ Is determine by the deman for supply of money available as loanable funds.

A

Interest Rate

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

____ comprises the demnad for consumption loans, investment loans, and even the government while the _______ comes from people who save or consume less of their incomes.

Study These Flashcards
A

Demand for loanable funds
Supply of loanable funds

21
Q

A downward sloping demand curve indicates __ interest rates which mean that borrowing money is quite ___.

Study These Flashcards
A

Downward
Cheap

22
Q

When the cost of borrowing is ____, this encourages ____ people to avail of more loans.

23
Q

It is upward sloping since individuals would get ____ reuturn on their money when interest rates are ___, and willing to save more.

Study These Flashcards
A

Higher Return
high

24
Q

The ______ shows the point whre supply of loanable funds meets the demand for loanable funds.

Study These Flashcards
A

The equilibrium interest rate

25
Is the rate determined by the supply and demans in the market for loanable funds.
Nominal Interest rate
26
Considered as the simplest type of interest rate, this is the stated rate of a given loan.
Nominal Interest rate
27
Is the nominal interest rate adjusted for inflation
Real Interest Rate
28
______ is the pricepaid for the use of land and other natural resources or factors of production that is in fixed supply.
Economic Rent
29
____ is a surplus of revenue over cost which arises due to differences in the level of usability of the land.
Rent
30
The supply of land is ____, demand becomes the determinat of rent
perfectly inelastic
31
2 several determinants that economic rent also relies on productivity:
productiveness of the land prices of other resources
32
If you own some property, you can receive rent being its owner. It is only tou right to benefit on the property in a sturcture that will favor you. However, when economic gains are obtained without any benefits to the society, this is called ____
Rent Seeking
33
Is defined as a retun on entrepreneurial abilities to run a business.
Profit
34
Profits are divided into 2:

Normal Profits Economic Profits
35
___ is a form of nonwage income
Profit
36
Payment made to entrepreneurs as the retun on their risk taking is called _____
Normal Profits
37
Supplying entrepreneurship in the market would yield______
Normal Profits
38
Supplying entrepreneurship in the market would yield______
Normal Profits
39
Is the entrepreneur's return above and beyond normal profits
Economic Profit
40
As entrepreneurs become eafer to receive economic profit, They would like to know _____ since these can provide economic profits.
Market Niches
41
CHAPTER SUMMARY
READY!
42
Interest is used in two ways: it can be the ______, which often reffered to a sloanable funds, and the ___ that capital earns as an input in the production process.
Price of credit return that capital earns
43
_____are the amount of money lent out by one individual to another, a borrower, for which the latter would pay an interest rate to the lender for the use of said fund.
Loanable Funds
44
Interest rate is fetermined by the ____ available as loanable funds.
demand for and supply of money
45
______ is the rate determined by supply and demand in the market for loanable funds.

Nominal Interest Rate
46
___ is the nominal interest rate adjusted for inflation.

Real Interest Rate
47
____ is the price paid for the use of land and other natural resources or factors of production that are in fixed supply.
Economic Rent
48
____ is when economic gains are obtained without any reciprocal benefits to the society.
Rent Seeking
49
____ is defined as a segment of the market that demans a commodity that is slightly differentiated from other commodities.
Market Niche

Micro Economics (4 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2025 Bold Learning Solutions. Terms and Conditions