Macroeconomics 8th Edition by Glenn Hubbard and
O’Brian Study Set Chapter 1-3
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economicsz-zCORRECTzANSWER-
thezstudyzofzhowzpeoplezseekztozsatisfyztheirzneedszandzwantszbyzmakingzchoices
economiczmodelz-zCORRECTzANSWER-azsimplifiedzversionzofzrealityzusedztozanalyzezreal-
worldzeconomiczsituations
marketz-zCORRECTzANSWER-azgroupzofzbuyerszandzsellerszofzazparticularzgoodzorzservice
marginalzanalysisz-zCORRECTzANSWER-
analysiszthatzinvolveszcomparingzmarginalzbenefitszandzmarginalzcosts
centrallyzplannedzeconomyz-zCORRECTzANSWER-
Anzeconomyzinzwhichzthezgovernmentzdecideszhowzeconomiczresourceszwillzbezallocated
marketzeconomyz-zCORRECTzANSWER-
anzeconomyzthatzallocateszresourceszthroughzthezdecentralizedzdecisionszofzmanyzfirmszandzhouseholdsza
sztheyzinteractzinzmarketszforzgoodszandzservices
mixedzeconomyz-zCORRECTzANSWER-
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szbutzinzwhichzthezgovernmentzplayszazsignificantzrolezinzthezallocationzofzresources
trade-offz-zCORRECTzANSWER-
thezideazthatzbecausezofzscarcity,zproducingzmorezofzonezgoodzorzservicezmeanszproducingzlesszofzanothe
rzgoodzorzservice
, opportunityzcostz-zCORRECTzANSWER-thezhighest-
valuedzalternativezthatzmustzbezgivenzupztozengagezinzanzactivity
productivezefficiencyz-zCORRECTzANSWER-
thezsituationzinzwhichzazgoodzorzserviceziszproducedzatzthezlowestzpossiblezcost
allocativezefficiencyz-zCORRECTzANSWER-
Azstatezofzthezeconomyzinzwhichzproductionziszinzaccordancezwithzconsumerzpreferences;zinzparticular,zev
eryzgoodzorzserviceziszproducedzupztozthezpointzwherezthezlastzunitzprovideszazmarginalzbenefitztozsocietyz
equalztozthezmarginalzcostzofzproducingzit
voluntaryzexchangez-zCORRECTzANSWER-
azsituationzthatzoccurszinzmarketszwhenzbothzthezbuyerzandzsellerzofzazproductzarezmadezbetterzoffzbyzthez
transaction
equityz-zCORRECTzANSWER-thezfairzdistributionzofzeconomiczbenefits
economiczvariablez-zCORRECTzANSWER-
somethingzmeasurablezthatzcanzhavezdifferentzvalues,zsuchzaszthezwageszofzsoftwarezprogrammers.
positivezanalysisz-zCORRECTzANSWER-analysiszconcernedzwithzwhatzis
normativezanalysisz-zCORRECTzANSWER-analysiszconcernedzwithzwhatzoughtztozbe
productionzpossibilitieszfrontierz(PPF)z-zCORRECTzANSWER-
azcurvezshowingzthezmaximumzattainablezcombinationszofztwozproductszthatzmayzbezproducedzwithzavail
ablezresourceszandzcurrentztechnology
economiczgrowthz-zCORRECTzANSWER-
thezabilityzofzthezeconomyztozproducezincreasingzquantitieszofzgoodszandzservices
tradez-zCORRECTzANSWER-thezbuyingzandzsellingzofzgoods
O’Brian Study Set Chapter 1-3
scarcityz-zCORRECTzANSWER-Limitedzquantitieszofzresourcesztozmeetzunlimitedzwants.
economicsz-zCORRECTzANSWER-
thezstudyzofzhowzpeoplezseekztozsatisfyztheirzneedszandzwantszbyzmakingzchoices
economiczmodelz-zCORRECTzANSWER-azsimplifiedzversionzofzrealityzusedztozanalyzezreal-
worldzeconomiczsituations
marketz-zCORRECTzANSWER-azgroupzofzbuyerszandzsellerszofzazparticularzgoodzorzservice
marginalzanalysisz-zCORRECTzANSWER-
analysiszthatzinvolveszcomparingzmarginalzbenefitszandzmarginalzcosts
centrallyzplannedzeconomyz-zCORRECTzANSWER-
Anzeconomyzinzwhichzthezgovernmentzdecideszhowzeconomiczresourceszwillzbezallocated
marketzeconomyz-zCORRECTzANSWER-
anzeconomyzthatzallocateszresourceszthroughzthezdecentralizedzdecisionszofzmanyzfirmszandzhouseholdsza
sztheyzinteractzinzmarketszforzgoodszandzservices
mixedzeconomyz-zCORRECTzANSWER-
Anzeconomyzinzwhichzmostzeconomiczdecisionszresultzfromzthezinteractionzofzbuyerszandzsellerszinzmarket
szbutzinzwhichzthezgovernmentzplayszazsignificantzrolezinzthezallocationzofzresources
trade-offz-zCORRECTzANSWER-
thezideazthatzbecausezofzscarcity,zproducingzmorezofzonezgoodzorzservicezmeanszproducingzlesszofzanothe
rzgoodzorzservice
, opportunityzcostz-zCORRECTzANSWER-thezhighest-
valuedzalternativezthatzmustzbezgivenzupztozengagezinzanzactivity
productivezefficiencyz-zCORRECTzANSWER-
thezsituationzinzwhichzazgoodzorzserviceziszproducedzatzthezlowestzpossiblezcost
allocativezefficiencyz-zCORRECTzANSWER-
Azstatezofzthezeconomyzinzwhichzproductionziszinzaccordancezwithzconsumerzpreferences;zinzparticular,zev
eryzgoodzorzserviceziszproducedzupztozthezpointzwherezthezlastzunitzprovideszazmarginalzbenefitztozsocietyz
equalztozthezmarginalzcostzofzproducingzit
voluntaryzexchangez-zCORRECTzANSWER-
azsituationzthatzoccurszinzmarketszwhenzbothzthezbuyerzandzsellerzofzazproductzarezmadezbetterzoffzbyzthez
transaction
equityz-zCORRECTzANSWER-thezfairzdistributionzofzeconomiczbenefits
economiczvariablez-zCORRECTzANSWER-
somethingzmeasurablezthatzcanzhavezdifferentzvalues,zsuchzaszthezwageszofzsoftwarezprogrammers.
positivezanalysisz-zCORRECTzANSWER-analysiszconcernedzwithzwhatzis
normativezanalysisz-zCORRECTzANSWER-analysiszconcernedzwithzwhatzoughtztozbe
productionzpossibilitieszfrontierz(PPF)z-zCORRECTzANSWER-
azcurvezshowingzthezmaximumzattainablezcombinationszofztwozproductszthatzmayzbezproducedzwithzavail
ablezresourceszandzcurrentztechnology
economiczgrowthz-zCORRECTzANSWER-
thezabilityzofzthezeconomyztozproducezincreasingzquantitieszofzgoodszandzservices
tradez-zCORRECTzANSWER-thezbuyingzandzsellingzofzgoods