Microeconomics – Complete Exam Questions with Accurate Microeconomics
Verified Answers–
_ Fully
Complete
Updated.pdf
Exam Questions with Accurate
Microeconomics
Verified Answers
– Complete
_ Fully Updated
Exam Questions with Accurate Verified Answers _ Fully Updated.pdf
Microeconomics –
Complete Exam Questions
with Accurate Verified
Answers | Fully Updated
Guidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_
Microeconomics – Complete Exam Questions with Accurate
Microeconomics
Verified Answers
–_Complete
Fully Updated.pdf
Exam Questions with Accurate
Microeconomics
Verified Answers
–_Complete
Fully Updated.pdf
Exam Questions with Accurate Verified Answers _ Fully Updated.pdf
,Microeconomics.pdf Microeconomics Microeconomics.pdf
Terms in this set (232)
Free goods Goods that are not scarce and therefore available without limits. Zero
opportunity cost e.g. Air
Economic goods A consumable item that is useful to people but scarce in relation to its demand
Opportunity cost The value of the next best alternative foregone
Positive statement An objective statement that can be tested, amended or rejected by referring to
available evidence
Normative statement A value judgement that is a subjective statement of opinion rather than a fact that
can be tested
Needs vs Wants Needs are defined as goods or services that are required and cannot be done
without. Wants are goods or services that are not a necessity but we desire/wish
for
Cost-benefit principle Every purchase is a trade-off
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
,Microeconomics.pdf Microeconomics Microeconomics.pdf
Rational decision makers An assumption that economic agents weigh the marginal benefit that one
receives from a good or service against its marginal cost
Economic agents Decision makers that have effects on the economy of a country by buying
selling, producing, investing, taxing, etc. Government, firms and households
Government Elected representative of the consumers that should act on behalf of the people.
The government must decide whether or not to intervene in the economy or
leave it as is.
Firms An organisation that uses factors of production alongside each other in order to
produce output. They produce goods and services demanded by consumers
Households A group of consumers that buy goods and services. They also supply their
labour to firms to produce goods and services in order to earn the income
needed to purchase g+s
Factors of production The available resource inputs used in the production process of g+s (Capital,
Enterprise, Land and Labour)
Capital Man made aids for production; goods used to make other goods
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
, Microeconomics.pdf Microeconomics Microeconomics.pdf
Entrepreneurship The willingness of an entrepreneur/individual to take risks and organise
production. An entrepreneur is someone who bears the risk of a business and
organises production
Labour The human resource that is available in the economy; the quantity and quality of
human resources
Land The natural resources available in the economy; the quantity and quality of
natural resources
Factor payments/rewards Capital=Interest
Enterprise=Profits
Labour=wages
Land=rent
A model A simplified representation of reality used to create hypotheses about economic
decisions and events
Production Any economic activity that leads to a flow of goods and services for which
people are willing and able to pay
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
Verified Answers–
_ Fully
Complete
Updated.pdf
Exam Questions with Accurate
Microeconomics
Verified Answers
– Complete
_ Fully Updated
Exam Questions with Accurate Verified Answers _ Fully Updated.pdf
Microeconomics –
Complete Exam Questions
with Accurate Verified
Answers | Fully Updated
Guidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_
Microeconomics – Complete Exam Questions with Accurate
Microeconomics
Verified Answers
–_Complete
Fully Updated.pdf
Exam Questions with Accurate
Microeconomics
Verified Answers
–_Complete
Fully Updated.pdf
Exam Questions with Accurate Verified Answers _ Fully Updated.pdf
,Microeconomics.pdf Microeconomics Microeconomics.pdf
Terms in this set (232)
Free goods Goods that are not scarce and therefore available without limits. Zero
opportunity cost e.g. Air
Economic goods A consumable item that is useful to people but scarce in relation to its demand
Opportunity cost The value of the next best alternative foregone
Positive statement An objective statement that can be tested, amended or rejected by referring to
available evidence
Normative statement A value judgement that is a subjective statement of opinion rather than a fact that
can be tested
Needs vs Wants Needs are defined as goods or services that are required and cannot be done
without. Wants are goods or services that are not a necessity but we desire/wish
for
Cost-benefit principle Every purchase is a trade-off
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
,Microeconomics.pdf Microeconomics Microeconomics.pdf
Rational decision makers An assumption that economic agents weigh the marginal benefit that one
receives from a good or service against its marginal cost
Economic agents Decision makers that have effects on the economy of a country by buying
selling, producing, investing, taxing, etc. Government, firms and households
Government Elected representative of the consumers that should act on behalf of the people.
The government must decide whether or not to intervene in the economy or
leave it as is.
Firms An organisation that uses factors of production alongside each other in order to
produce output. They produce goods and services demanded by consumers
Households A group of consumers that buy goods and services. They also supply their
labour to firms to produce goods and services in order to earn the income
needed to purchase g+s
Factors of production The available resource inputs used in the production process of g+s (Capital,
Enterprise, Land and Labour)
Capital Man made aids for production; goods used to make other goods
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
, Microeconomics.pdf Microeconomics Microeconomics.pdf
Entrepreneurship The willingness of an entrepreneur/individual to take risks and organise
production. An entrepreneur is someone who bears the risk of a business and
organises production
Labour The human resource that is available in the economy; the quantity and quality of
human resources
Land The natural resources available in the economy; the quantity and quality of
natural resources
Factor payments/rewards Capital=Interest
Enterprise=Profits
Labour=wages
Land=rent
A model A simplified representation of reality used to create hypotheses about economic
decisions and events
Production Any economic activity that leads to a flow of goods and services for which
people are willing and able to pay
Microeconomics.pdf Microeconomics.pdf Microeconomics.pdf
