Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Economics > S3 exam > Flashcards

S3 exam Flashcards

1
Q

Supply

A

The amount of a good or a service firms or producers are willing to make and cell at different prices

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

Quantity supplied

A

The amount of a good or service producers are willing and able make and sell in a market

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

Market supply

A

The amount supplied by all the individual producers competing to supply the product

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

Rise in supply

A 
Other products becoming less profitable
An increase in resources
Technical progress
Increase in business optimism
Government paying subsidies to producers
Cutting taxes on profit
Fall in costs of employment factors 
Season
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Fall in supply

A 
Other products becoming more profitable
Rise in the costs of employing factors
A fall in availability of resources
A fall in business optimism
Government withdrawing subsides
Increasing taxes on profit
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Injections

A

This is the category given to any spending in an economy that is not consumer spending

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

Invesments

A

This is the spending by firms, normally on capital good e.g machinery

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

Exports

A

The money spent by oversea firms and individuals on British goods

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

Government spending

A

The spending in the economy of the public sector, determined by government decisions

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

Leakages

A

This category is given to withdraws of money from the circular flow diagram

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

Savings

A

Money that consumers save from there income

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

Imports

A

The amount spent bu UK firms and individuals on foreign goods and services

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

Taxes

A

The amount of revenue collected from central and local governement

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

Demand

A

The willingness of a consumer to buy goods and services

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

Effective demand

A

Consumers must have enough money to buy goods and services they need and want

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

Quantity demanded

A

Amount of good and services consumers are willing and able to buy

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

Individual demand

A

The demand of one consumer

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

Market demand

A

The total demand for that product from all its consumers

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

Extension of demand

A

Demand rises with a fall in price

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

Contraction of demand

A

Demand contracts when price rises

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

Market demand curve

A

The relationship between quantity demanded and price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

Ceteris paribus

A

All other factors remain unchanged

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Normal good

A

The demand for a product tends to rise when incomes rise

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Inferior food

A

The demand tends to fall while incomes rise

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Disposiable income

A

The amount of income left to save or spend after deductions

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

Complementary good

A

When a good needs an accessories to go with it i.e TV and remote

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

Joint demand

A

Complementary goods that are worth the same

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

Substitutes

A

When a purchase can be replaced by a want of another good or service

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

Land

A

Natural resources

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

Labour

A

Human effort

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

Capital

A

Man made resources

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Enterprise

A

The eneterpreuneuer who brings all the factors together

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

Rent

A

Reward for land

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

Wages

A

Reward for labour

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

Interest

A

Reward for capital

36
Q

Profit

A

Reward for enterprise

37
Q

Factors of production

A

Land, labour, capital, enterprise

38
Q

What are resources not scareced called

A

Free goods

39
Q

Consumption

A

Using up goods and services to satisfy our needs and wants

40
Q

Consumer spending is called

A

Consumer expenditure

41
Q

Capital goods

A

Man-made resources which help to produce goods and sevices e.g machines

42
Q

Public goods

A

Goods for the benefit of public e.g street lamps

43
Q

Merit goods

A

Goods and sevices which the government thinks will benifit the public e.g education, health care

44
Q

Scarcity

A

Limited resources but unlimited resources

45
Q

Opportunity cost

A

The sacrifice of the next best alternative choice e.g choosing a mars bar over a dairy milk; the oppetunity cost would be the dairy milk

46
Q

What maximises economic welfare

A

Satisfying consumers needs and wants

47
Q

Maket

A

Arrangements that brings together producers and consumers of a good or service so they can engage in exchange at certain price

48
Q

Barter

A

Producers are willin to exchange other goods and sevices they want fo there owm

49
Q

Demand

A

The want and wilingness of a consumer to buy goods and sevices

50
Q

Criteris paribus

A

Meaning that all other factors remain unchanged

51
Q

Rise in demand

A 
Change in weather
Increase in population
Reduction in tax
Change in fashion
Increases in consumers income
52
Q

Fall in demand

A 
Change in weather
Increase in tax rates
Fall in population
Change in fashion
Increase tax on income
53
Q

Disposable income

A

The amount of income people have to spend or save after taxes on their incomes have been deducted

54
Q

Marginal utility

A

The satisfaction gained from consuming an extra unit of a good

55
Q

Total utility

A

The total amount of satisfaction gained from consuming a product in a period of time

56
Q

Diminishing marginal utility

A

The more we consume of a good, the less wea re willing to pay to get one more unit of it. This is because our satisfaction falls after consuming more than one unit

57
Q

Substitution effect

A

As price rises or income decreases will replace more expensive items with less costly alternatives

58
Q

Income effect

A

The change in consumers real income resulting a change in product prices meanin demand for a product also changes

59
Q

Demand curve slope downwards

A

Law of diminishing marginal utility
Income effect
Subsitute effect

60
Q

Value added

A

The difference between the market price paid fo a product by a consumer and the cost of the natural and man-made materials, complainants and resources to make it

61
Q

Productivity

A

The amount of output that can be produced per unit of output in a certain time

62
Q

Production efficiency

A

The maximum output for tha maximum cost and therefore maximising profit

63
Q

Short run

A

The firm will have fixed capsity i.e at least one factor of production is fixed ad cant be expanded

64
Q

Long run

A

The firm wil be able to vary all the factors of production

65
Q

Total revenue

A

Total receipts from sales of a given quantity of goods or services
Price x quantity

66
Q

Average revenue

A

The revenue generated per unit of output sold

Total revenue divided by quantity

67
Q

Marginal utility

A

the additional revenue that will be generated by increasing product sales by one unit
Price

68
Q

Cost

A

The payment by a firm in producing its outputs

69
Q

Fixed costs

A

Any costs that in the short run don’t vary

70
Q

Variable costs

A

Any costs that tend to vary directly with levels of output

71
Q

Economic growth

A

This occurs when there is an increase in total output of goods and services over one year period of time using the same or fewer resources

72
Q

How to measure economic growth

A

National income

73
Q

National income

A

The value of all goods and services produced in the economy in a year

74
Q

Gross demestic product (GDP)

A

This measures the goods and sevices that are produced in the UK no matter who owns the resources

75
Q

Inflation

A

The rate at which the general level of prices for goods and sevices is rising and consequently the purchasing power of currency is falling

76
Q

How to measure REAL NI

A

REAL NI = NI - inflation

77
Q

Factors effecting living statdards

A 
Employment
Inflation
Taxation
Income
Interest rates
Health care
Education
Benifit level
78
Q

Why do supply curves slope upwards

A

Higher profit per unit

New firms will enter the market

79
Q

Ways of saving money

A

ISA,

Regular savings account

80
Q

Ways of borrowing money

A

Credit cards

Hire purchase

81
Q

Advantage of credit cards

A

More secure when there is problem with retailer

82
Q

Disadvantage of credit cards

A

High interest rates

83
Q

Advantage of bank loans

A

Low interest rates compared to credit cards

84
Q

Disadvantage of bank loans

A

Pay back more than you borrowed

85
Q

Factors that effect consumer confidence

A

Changes in governement borrowing

Exchange rate fluctuations

86
Q

Consumer confidence

A

degree of optimism that consumers feel about the overall state of the economy and their personal financial situation

87
Q

How can the governement improve economic growth

A

Providing subsidies to businesses, schools and hospitals to improve quality
More productivity of people and more jobs result in an increase of productivity which means more money is entering the circular flow

Economics (10 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions