ECON 101 UBC Final Exam Questions With
Correct Answers
Capital - CORRECT ANSWER✔✔-manufactured aids to protection
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Scarcity - CORRECT ANSWER✔✔-a situation in which unlimited wants
|| || || || || || || ||
exceed the limited resources available to fulfil those wants
|| || || || || || || || ||
Microeconomics - CORRECT ANSWER✔✔-how households and firms
|| || || || || || ||
make choices, interact in markets, and how the government
|| || || || || || || || ||
attempts to influence their choices
|| || || ||
Macroeconomics - CORRECT ANSWER✔✔-study of economy as a
|| || || || || || || ||
whole, including topics such as inflation, unemployment, and
|| || || || || || || ||
economic growth ||
Positive Analysis - CORRECT ANSWER✔✔-relying on facts or logic
|| || || || || || || ||
Normative Analysis - CORRECT ANSWER✔✔-relying on value
|| || || || || || ||
judgements
,Opportunity Cost - CORRECT ANSWER✔✔-highest-valued alternative
|| || || || || ||
that must be given up to get something
|| || || || || || ||
Marginal Benefit - CORRECT ANSWER✔✔-the additional benefit
|| || || || || || ||
associated with a small amount of extra of some action
|| || || || || || || || ||
Marginal Cost - CORRECT ANSWER✔✔-the additional cost associated
|| || || || || || ||
with a small amount of extra of some action
|| || || || || || || || ||
Marginal Analysis - CORRECT ANSWER✔✔-comparing marginal cost
|| || || || || || ||
and marginal benefit when making a decision
|| || || || || ||
Productive Efficiency - CORRECT ANSWER✔✔-where goods or
|| || || || || || ||
services are produced at the lowest possible cost
|| || || || || || ||
Allocative Efficiency - CORRECT ANSWER✔✔-where the production is
|| || || || || || ||
consistent with consumer preferences, marginal benefit of
|| || || || || || || ||
production= marginal cost || ||
Production Possibilities Frontier (PPF) - CORRECT ANSWER✔✔-curve
|| || || || || || ||
showing the maximum attainable combinations of two products that
|| || || || || || || || ||
may be produced with a fixed amount of resources and technology
|| || || || || || || || || ||
Resources - CORRECT ANSWER✔✔-capital, land, and labour
|| || || || || ||
, Technology - CORRECT ANSWER✔✔-the processes a firm uses to
|| || || || || || || || ||
turning inputs into outputs of goods and services
|| || || || || || ||
Economic Growth - CORRECT ANSWER✔✔-the expansion of
|| || || || || || ||
production possibilities ||
Consumption - CORRECT ANSWER✔✔-the use of goods and services
|| || || || || || || || ||
for personal satisfaction, determines what we should specialize in
|| || || || || || || ||
Comparative Advantage - CORRECT ANSWER✔✔-the ability to
|| || || || || || ||
produce a good or service using a given quantity of labour and
|| || || || || || || || || || || ||
resource inputs ||
Households - CORRECT ANSWER✔✔-individuals who provide factors
|| || || || || || ||
of production, labour, capital, land resources, and entrepreneurial
|| || || || || || || ||
ability
Firms - CORRECT ANSWER✔✔-supply goods and services to product
|| || || || || || || || ||
markets
Circular Flow Diagram - CORRECT ANSWER✔✔-shows links between
|| || || || || || || ||
households and firms || ||
Correct Answers
Capital - CORRECT ANSWER✔✔-manufactured aids to protection
|| || || || || ||
Scarcity - CORRECT ANSWER✔✔-a situation in which unlimited wants
|| || || || || || || ||
exceed the limited resources available to fulfil those wants
|| || || || || || || || ||
Microeconomics - CORRECT ANSWER✔✔-how households and firms
|| || || || || || ||
make choices, interact in markets, and how the government
|| || || || || || || || ||
attempts to influence their choices
|| || || ||
Macroeconomics - CORRECT ANSWER✔✔-study of economy as a
|| || || || || || || ||
whole, including topics such as inflation, unemployment, and
|| || || || || || || ||
economic growth ||
Positive Analysis - CORRECT ANSWER✔✔-relying on facts or logic
|| || || || || || || ||
Normative Analysis - CORRECT ANSWER✔✔-relying on value
|| || || || || || ||
judgements
,Opportunity Cost - CORRECT ANSWER✔✔-highest-valued alternative
|| || || || || ||
that must be given up to get something
|| || || || || || ||
Marginal Benefit - CORRECT ANSWER✔✔-the additional benefit
|| || || || || || ||
associated with a small amount of extra of some action
|| || || || || || || || ||
Marginal Cost - CORRECT ANSWER✔✔-the additional cost associated
|| || || || || || ||
with a small amount of extra of some action
|| || || || || || || || ||
Marginal Analysis - CORRECT ANSWER✔✔-comparing marginal cost
|| || || || || || ||
and marginal benefit when making a decision
|| || || || || ||
Productive Efficiency - CORRECT ANSWER✔✔-where goods or
|| || || || || || ||
services are produced at the lowest possible cost
|| || || || || || ||
Allocative Efficiency - CORRECT ANSWER✔✔-where the production is
|| || || || || || ||
consistent with consumer preferences, marginal benefit of
|| || || || || || || ||
production= marginal cost || ||
Production Possibilities Frontier (PPF) - CORRECT ANSWER✔✔-curve
|| || || || || || ||
showing the maximum attainable combinations of two products that
|| || || || || || || || ||
may be produced with a fixed amount of resources and technology
|| || || || || || || || || ||
Resources - CORRECT ANSWER✔✔-capital, land, and labour
|| || || || || ||
, Technology - CORRECT ANSWER✔✔-the processes a firm uses to
|| || || || || || || || ||
turning inputs into outputs of goods and services
|| || || || || || ||
Economic Growth - CORRECT ANSWER✔✔-the expansion of
|| || || || || || ||
production possibilities ||
Consumption - CORRECT ANSWER✔✔-the use of goods and services
|| || || || || || || || ||
for personal satisfaction, determines what we should specialize in
|| || || || || || || ||
Comparative Advantage - CORRECT ANSWER✔✔-the ability to
|| || || || || || ||
produce a good or service using a given quantity of labour and
|| || || || || || || || || || || ||
resource inputs ||
Households - CORRECT ANSWER✔✔-individuals who provide factors
|| || || || || || ||
of production, labour, capital, land resources, and entrepreneurial
|| || || || || || || ||
ability
Firms - CORRECT ANSWER✔✔-supply goods and services to product
|| || || || || || || || ||
markets
Circular Flow Diagram - CORRECT ANSWER✔✔-shows links between
|| || || || || || || ||
households and firms || ||
