ECON 1001 Fall Midterm (Chap. 1) -
Carleton University | Latest study set |
Questions and Answers
Scarcity - ANSW-the limited nature of society's resources
Economics - ANSW-the study of how society manages its scarce resources
Efficiency - ANSW-the property of society getting the most it can from its scarce resources
Equity - ANSW-the property of distributing economic prosperity fairly among the members of society
Opportunity Cost - ANSW-whatever must be given up to obtain some item
Rational People - ANSW-those who systematically and purposefully do the best they can to achieve their
objectives
Marginal Changes - ANSW-small incremental adjustments to a plan of action
Incentive - ANSW-something that induces a person to act
Market Economy - ANSW-an economy that allocates resources through the decentralized decisions of
many firms and households as they interact in markets for goods and services
Property Rights - ANSW-the ability an individual to own and exercise control over scarce resources
Market Failure - ANSW-a situation in which a market left on its own fails to allocate resources efficiently
Externality - ANSW-The impact of one person's actions on the well-being of a bystander
Market Power - ANSW-the ability of a single economic actor (or small group of actors) to have a
substantial influence on market prices
Productivity - ANSW-the quantity of goods and services produced from each hour of a worker's time
Inflation - ANSW-an increase in the overall level of prices in the economy
Business Cycle - ANSW-fluctuations in economic activity, such as employment and production
Carleton University | Latest study set |
Questions and Answers
Scarcity - ANSW-the limited nature of society's resources
Economics - ANSW-the study of how society manages its scarce resources
Efficiency - ANSW-the property of society getting the most it can from its scarce resources
Equity - ANSW-the property of distributing economic prosperity fairly among the members of society
Opportunity Cost - ANSW-whatever must be given up to obtain some item
Rational People - ANSW-those who systematically and purposefully do the best they can to achieve their
objectives
Marginal Changes - ANSW-small incremental adjustments to a plan of action
Incentive - ANSW-something that induces a person to act
Market Economy - ANSW-an economy that allocates resources through the decentralized decisions of
many firms and households as they interact in markets for goods and services
Property Rights - ANSW-the ability an individual to own and exercise control over scarce resources
Market Failure - ANSW-a situation in which a market left on its own fails to allocate resources efficiently
Externality - ANSW-The impact of one person's actions on the well-being of a bystander
Market Power - ANSW-the ability of a single economic actor (or small group of actors) to have a
substantial influence on market prices
Productivity - ANSW-the quantity of goods and services produced from each hour of a worker's time
Inflation - ANSW-an increase in the overall level of prices in the economy
Business Cycle - ANSW-fluctuations in economic activity, such as employment and production
