Test Bank for MacroEconomics Principles
for a Changing World 6th Edition By Eric
Chiang (All Chapters, 100% Original
Verified, A+ Grade)
Economics - answer- The study of how people seek to satisfy their needs and wants by
making choices
Economics is the study of - answer- how society manages its scarce resources
Or
The study of how individuals,firms, and society make decision to allocate limited
resources to many competing wants
Scarcity - answer- Limited quantities of resources to meet unlimited wants
Economics focuses on the allocation of scarce resources to satisfy unlimited wants as
fully possible
incentive - answer- a positive or negative environmental stimulus that motivates
behavior within individuals and firms in their best interest
Microeconomics - answer- The study of the decision making by individuals, businesses,
and industries.
Macroecomics - answer- The study of the broader issues in the economy such as
inflation, unemployment, and national output of good and services.
Ceteris paribus assumption: - answer- holding all other things equal meaning we will
hold some important variables constant
Efficiency deals with - answer- How well resources are used and allocated
Efficiency - answer- How well resources are used and allocated. Do people get the
goods and services they want at he lowest possible resources cost? This is the chief
focus of efficiency.
Equity - answer- The fairness of various issues and policies.
, Positive question - answer- A question that can be answered using available information
or facts.
Normative question - answer- A question whose answer is based on societal belief on
what should or should not take place
Opportunity cost - answer- The value of the next best alternative; what you give up to do
something or purchase something
What is economics? - answer- the study of how we make decisions in a world where
resources are limited
why should one study economic? - answer- economics helps you think more clearly
about the decisions you make everyday and tp understand better how the economy
functions and why certain things happen the way they do.
Microeconomics is the study of - answer- how households and firms make choices, how
they interact in markets, and how the government attempts to influence their choices
Macro economics - answer- The study of the economy as a whole
Macro Economics deals with... - answer- increase economic growth, the impact of
government speeding and taxation , the effects of monetary policy on the economy, and
inflation
Efficiency equation - answer- Efficiency= Useful energy output/total energy input
-Measured in %
Efficiency versus effectiveness - answer-
Efficiency - answer- using resources in such a way as to maximize the production of
goods and services
Production efficiency (PE) - answer- Production efficiency occurs when good are
produced at the lowest possible cost,
allocative efficiency - answer- when individuals who desire a product the most get those
good and services
Equity - answer- fairness; impartiality; justice
positive question - answer- A question that can be answered using available information
or facts.
for a Changing World 6th Edition By Eric
Chiang (All Chapters, 100% Original
Verified, A+ Grade)
Economics - answer- The study of how people seek to satisfy their needs and wants by
making choices
Economics is the study of - answer- how society manages its scarce resources
Or
The study of how individuals,firms, and society make decision to allocate limited
resources to many competing wants
Scarcity - answer- Limited quantities of resources to meet unlimited wants
Economics focuses on the allocation of scarce resources to satisfy unlimited wants as
fully possible
incentive - answer- a positive or negative environmental stimulus that motivates
behavior within individuals and firms in their best interest
Microeconomics - answer- The study of the decision making by individuals, businesses,
and industries.
Macroecomics - answer- The study of the broader issues in the economy such as
inflation, unemployment, and national output of good and services.
Ceteris paribus assumption: - answer- holding all other things equal meaning we will
hold some important variables constant
Efficiency deals with - answer- How well resources are used and allocated
Efficiency - answer- How well resources are used and allocated. Do people get the
goods and services they want at he lowest possible resources cost? This is the chief
focus of efficiency.
Equity - answer- The fairness of various issues and policies.
, Positive question - answer- A question that can be answered using available information
or facts.
Normative question - answer- A question whose answer is based on societal belief on
what should or should not take place
Opportunity cost - answer- The value of the next best alternative; what you give up to do
something or purchase something
What is economics? - answer- the study of how we make decisions in a world where
resources are limited
why should one study economic? - answer- economics helps you think more clearly
about the decisions you make everyday and tp understand better how the economy
functions and why certain things happen the way they do.
Microeconomics is the study of - answer- how households and firms make choices, how
they interact in markets, and how the government attempts to influence their choices
Macro economics - answer- The study of the economy as a whole
Macro Economics deals with... - answer- increase economic growth, the impact of
government speeding and taxation , the effects of monetary policy on the economy, and
inflation
Efficiency equation - answer- Efficiency= Useful energy output/total energy input
-Measured in %
Efficiency versus effectiveness - answer-
Efficiency - answer- using resources in such a way as to maximize the production of
goods and services
Production efficiency (PE) - answer- Production efficiency occurs when good are
produced at the lowest possible cost,
allocative efficiency - answer- when individuals who desire a product the most get those
good and services
Equity - answer- fairness; impartiality; justice
positive question - answer- A question that can be answered using available information
or facts.
