Supply And Demand Flashcards
WHAT IS ANOTHER WORD FOR PRODUCTION AND CONSUMPTION?
Supply and Demand
Is there only one type of scarcity in society or does it depend on an individual situation?
Think of any Examples!!!!!!!!!!!!!!!!!
It depends on an individual situation.
Example,
A farmer that cannot afford to feed his family does not have the same scarcity problem as a person who cannot afford to go on a second holiday to Dubai
Does Human wants ever Stop?
No
Can all Human Wants be Covered?
And Why if so or not.
No, as Earth has a limited amount of resources
Fill in the Words
———————— Demand will always Exceed ——————Supply.
Potential Demand will always exceed potential Supply
What is the meaning of Aggregate Demand?
The total amount of spending that the Economy has.
What is the meaning of Aggregate Supply
Aggregate-total,
The total national output of goods and services
What is Macroeconomics
It Discusses the aggregate( total amount ) of the supply and demand of the economy.
i.e. the aggregate supply and the aggregate demand of the entire economy
What are examples of things that are under Macroeconomics?
- The level of national employment
- The level of inflation,( the entire strength of the currency that the economy uses compared to the strength of other currencies that other economies use.
- Aggregate supply of the economy
- Aggregate Demand of the economy
Give examples of Aggregate Supply within an economy
-goods and services
Materials
Oil
Water
gas
Wood
Metals
Lead
Etc.
Give some examples of Aggregate Demand?
Cars
Firms spending money on stock/raw materials
Holidays
Clothes
Pretty much human wants
What is Microeconomics
Studies the interrelationships between smaller units/smaller-sized demands and wants and discovers patterns/ relationships within each unit.
Examples of units in microeconomics
- Households
- Firms
- Industries
