Principles of Microeconomics Flashcards
1
Q
Economics
A
Social science, studying human bevahiour
2
Q
Scarcity
A
Society has limited resources and can’t produce goods and services people wish to have
3
Q
How are resources allocated?
A
- By markets
- actions of households and businesses
- Studying how people make decisions
4
Q
Microeconomics
A
Study of how households and businesses make decisions and how they interact in specific markets
5
Q
Macroeconomics
A
Study of economy-wide phenomena such as inflation, unemployment, economic growth
6
Q
How do economists think and gather info?
A
- Scientific method
- role of assumptions
- Economic models
7
Q
Positive statements
A
- Descriptive
- Make a claim about how the world is
- Confirmed bt evidence
8
Q
Normative statements
A
- Prescriptive
- Make a claim how the world would have been
- Evaluations involve facts and values
9
Q
Economic data examples
A
- Economic growth rates
- Inflation
- Unemployment
- Interest rates
- Exchange rates
- Imports and Exports
- National dept
- Tax Revenue
- Population
- Income and expenditure
- Emigration/Immigration
- Housing
- Agriculture
- Tourism
- Industry
- Wealth and poverty
10
Q
Who uses Economic Data?
A
- Economists
- Researchers
- Academics
- Economic Organisations
- Economic advisors
- Businesses
- Journalists
- Students
- General Public
