- Study guides, Class notes & Summaries

classical economics - CORRECT ANSWER-focus on the long-run -focus on trends -focus on supply and productivity -don't care about demand -say's law (supply creates its own demand) -labor markets are the same as wheat markets -laissez faire Keynesian economics - CORRECT ANSWER-focus on short-run -demand matters -focus on up and down movement not trends -the labor market is not like the wheat market -unemployment is a problem -laissez fair won't always work -big government ca...

What is Economics? - CORRECT ANSWERThe study of people and the choices they make in a world of scarcity. 4 Themes of Economics - CORRECT ANSWER-Definition of Economics -Definition of supply - Definition of Demand -Mutually Beneficial Voluntary Exchange (if the trade is voluntary both parties benefit.) Scarcity: - CORRECT ANSWERAnything that has a positive price is scarce. -A thing that is add to be "scarce" if, at a zero price 4 Basic groups of Resources - CORRECT ANSWER1. La...