ECN 211 CERTIFICATION EVALUATION 2026
COMPLETE QUESTIONS AND ANSWERS
◉Economies:. Answer: The science of how individuals and societies
deal with scarcity. The wants of people are greater than the
resources available to satisfy these wants. People have to make
decisions that require trade-offs.
◉Incentives:. Answer: Rewards for engaging in a particular activity
◉Resources. Answer: Things that are used to produce other things
to satisfy people's wants
◉Wants. Answer: What people would buy if their incomes were
unlimited
◉Microeconomies. Answer: The part of economic analysis that
studies individual decision making
that is undertaken by individuals (or households) and firms
◉Macrorcnomics. Answer: The part of economic analysis that
studies the behavior of the economy
,as a whole; it deals with economy-wide phenomena, such as changes
in unemployment, the
general price level, and national income.
◉Aggregates. Answer: The sum of the total, such as total output in
an economy
◉Economic Systems. Answer: The institutional mechanism through
which resources are utilized to
satisfy human wants
◉Command and Control. Answer: A system with a centralized
authority that decides what items to
produce and how many of each, determines how the scarce
resources will be organized in
the items' production, and identifies who will be able to obtain the
items.
◉Price System. Answer: Also called a market system, a price system
is an economic system which
answers the three basic questions of what, how, and for whom to
produce via decentralized
decision making.
, ◉Rationality Assumption. Answer: The assumption that individuals
will not intentionally make
decisions that would leave them worse off
◉Models. Answer: Simplified representations of the real world;
developed and used as aids in
understanding, explaining, and predicting economic phenomena in
the real world
◉Ceteris Paribus Assumption. Answer: The assumption that nothing
changes except the factors that
are studied. It is used to isolate the effect of a change in one variable
on another one by
assuming that all other variables do not change.
◉Bounded Rationality. Answer: A hypothesis that people are nearly,
but not fully, rational
◉Positive. Answer: Purely descriptive statements or scientific
predictions such as If A, then B; a
statement of what is
◉Normative. Answer: - An analysis that involves value judgments;
relates to whether things are good
COMPLETE QUESTIONS AND ANSWERS
◉Economies:. Answer: The science of how individuals and societies
deal with scarcity. The wants of people are greater than the
resources available to satisfy these wants. People have to make
decisions that require trade-offs.
◉Incentives:. Answer: Rewards for engaging in a particular activity
◉Resources. Answer: Things that are used to produce other things
to satisfy people's wants
◉Wants. Answer: What people would buy if their incomes were
unlimited
◉Microeconomies. Answer: The part of economic analysis that
studies individual decision making
that is undertaken by individuals (or households) and firms
◉Macrorcnomics. Answer: The part of economic analysis that
studies the behavior of the economy
,as a whole; it deals with economy-wide phenomena, such as changes
in unemployment, the
general price level, and national income.
◉Aggregates. Answer: The sum of the total, such as total output in
an economy
◉Economic Systems. Answer: The institutional mechanism through
which resources are utilized to
satisfy human wants
◉Command and Control. Answer: A system with a centralized
authority that decides what items to
produce and how many of each, determines how the scarce
resources will be organized in
the items' production, and identifies who will be able to obtain the
items.
◉Price System. Answer: Also called a market system, a price system
is an economic system which
answers the three basic questions of what, how, and for whom to
produce via decentralized
decision making.
, ◉Rationality Assumption. Answer: The assumption that individuals
will not intentionally make
decisions that would leave them worse off
◉Models. Answer: Simplified representations of the real world;
developed and used as aids in
understanding, explaining, and predicting economic phenomena in
the real world
◉Ceteris Paribus Assumption. Answer: The assumption that nothing
changes except the factors that
are studied. It is used to isolate the effect of a change in one variable
on another one by
assuming that all other variables do not change.
◉Bounded Rationality. Answer: A hypothesis that people are nearly,
but not fully, rational
◉Positive. Answer: Purely descriptive statements or scientific
predictions such as If A, then B; a
statement of what is
◉Normative. Answer: - An analysis that involves value judgments;
relates to whether things are good
