Principles of Macroeconomics (for
exam 1)
(Ceteris Paribus) All else identical - ANS-A device in which two variables are analyzed even
as all of the different variables live the same.
4 goals of analyzing economics - ANS-1. To study a manner of wondering.
2. To understand society.
Three. To apprehend global affairs
four. To be an knowledgeable citizen.
Absolute advantage - ANS-the capability to supply an awesome the usage of fewer inputs
than some other manufacturer
Capital - ANS-Things which can be produced and then used to make goods and offerings.
Exchange in call for curve - ANS-movement - trade in quantity demanded (rate)
shift - alternate in call for (income, options)
command financial system - ANS-a system in which the central government makes all
financial decisions
comparative gain - ANS-the ability to produce a terrific at a decrease possibility fee than any
other producer
complementary items - ANS-goods which can be used together with others, generally
demanded together. Price of 1 properly goes up, demand for other goes down (gas/motor oil,
lessons/textbooks)
patron sovereignty - ANS-the electricity of purchasers to determine what gets produced
purchaser surplus - ANS-The distinction among the most amount someone is willing to pay
for a terrific and its cutting-edge marketplace price.
CPI (purchaser charge index) - ANS-A fee index computed every month by means of the
BLS the usage of a "market basket" displaying what consumers purchase monthly.
Cyclical unemployment - ANS-the more unemployment introduced about by periods of
recession
deadweight loss - ANS-the internet loss of manufacturer and customer surplus from
underproduction or overproduction.
, Deflation - ANS-a decrease in the overall fee degree
demand curve - ANS-graph demonstrating the amount demanded.
1. They've a bad slope.
2. They intersect the X axis due to time barriers.
Three. They intersect the Y axis due to monetary barriers.
Descriptive economics - ANS-The compilation of facts that describe phenomena and
statistics
discouraged employee - ANS-a person who wishes a process however has given up
searching
dividends - ANS-Earnings allotted to stockholders
monetary increase - ANS-an boom within the total output of an financial system
Economic concept - ANS-A declaration or set of related statements approximately cause
and effect, movement and reaction
Economics - ANS-The take a look at of the way individuals and societies choose to use the
scarce resources that nature and former generation have furnished.
Efficiency - ANS-An efficient economy is one which produces what human beings need at
least possible cost.
Green marketplace - ANS-A marketplace in which earnings opportunities are eliminated
nearly at once.
Empirical economics - ANS-the collection and use of facts to test monetary theories
equilibrium - ANS-the circumstance that exists whilst amount furnished equals quantity
demanded.
Fallacy of composition - ANS-The incorrect belief that what's true for the individual, or
element, should always be real for the group, or entire.
Fiscal policy - ANS-a government coverage for managing the price range (in particular with
taxation and borrowing)
free agency - ANS-the liberty of private companies to perform competitively for earnings with
minimal authorities regulation
frictional unemployment - ANS-unemployment that happens while humans take time to find a
job
inflation - ANS-an increase inside the normal charge degree
exam 1)
(Ceteris Paribus) All else identical - ANS-A device in which two variables are analyzed even
as all of the different variables live the same.
4 goals of analyzing economics - ANS-1. To study a manner of wondering.
2. To understand society.
Three. To apprehend global affairs
four. To be an knowledgeable citizen.
Absolute advantage - ANS-the capability to supply an awesome the usage of fewer inputs
than some other manufacturer
Capital - ANS-Things which can be produced and then used to make goods and offerings.
Exchange in call for curve - ANS-movement - trade in quantity demanded (rate)
shift - alternate in call for (income, options)
command financial system - ANS-a system in which the central government makes all
financial decisions
comparative gain - ANS-the ability to produce a terrific at a decrease possibility fee than any
other producer
complementary items - ANS-goods which can be used together with others, generally
demanded together. Price of 1 properly goes up, demand for other goes down (gas/motor oil,
lessons/textbooks)
patron sovereignty - ANS-the electricity of purchasers to determine what gets produced
purchaser surplus - ANS-The distinction among the most amount someone is willing to pay
for a terrific and its cutting-edge marketplace price.
CPI (purchaser charge index) - ANS-A fee index computed every month by means of the
BLS the usage of a "market basket" displaying what consumers purchase monthly.
Cyclical unemployment - ANS-the more unemployment introduced about by periods of
recession
deadweight loss - ANS-the internet loss of manufacturer and customer surplus from
underproduction or overproduction.
, Deflation - ANS-a decrease in the overall fee degree
demand curve - ANS-graph demonstrating the amount demanded.
1. They've a bad slope.
2. They intersect the X axis due to time barriers.
Three. They intersect the Y axis due to monetary barriers.
Descriptive economics - ANS-The compilation of facts that describe phenomena and
statistics
discouraged employee - ANS-a person who wishes a process however has given up
searching
dividends - ANS-Earnings allotted to stockholders
monetary increase - ANS-an boom within the total output of an financial system
Economic concept - ANS-A declaration or set of related statements approximately cause
and effect, movement and reaction
Economics - ANS-The take a look at of the way individuals and societies choose to use the
scarce resources that nature and former generation have furnished.
Efficiency - ANS-An efficient economy is one which produces what human beings need at
least possible cost.
Green marketplace - ANS-A marketplace in which earnings opportunities are eliminated
nearly at once.
Empirical economics - ANS-the collection and use of facts to test monetary theories
equilibrium - ANS-the circumstance that exists whilst amount furnished equals quantity
demanded.
Fallacy of composition - ANS-The incorrect belief that what's true for the individual, or
element, should always be real for the group, or entire.
Fiscal policy - ANS-a government coverage for managing the price range (in particular with
taxation and borrowing)
free agency - ANS-the liberty of private companies to perform competitively for earnings with
minimal authorities regulation
frictional unemployment - ANS-unemployment that happens while humans take time to find a
job
inflation - ANS-an increase inside the normal charge degree
