ECON 1100- Chapter 1 2025/2026 Exam
Questions and Detailed Answers | Get it
1
100% Correct Answers
Economics - 🧠 ANSWER ✔✔a social science that studies how choices are made
and the consequences of those choices
Economy - 🧠 ANSWER ✔✔refers to all the decisions, or choices, made by
economic agents within a given geographic area that involve the use of scarce
resources
Economic System - 🧠 ANSWER ✔✔the way a society is organized to decide what
outputs to produce and to decide who gets to consume those outputs
Microeconomics - 🧠 ANSWER ✔✔studies the individual parts of the economy: the
households, the firms, the markets, and the various organizations that exist within
the economy; the main focus is the behavior of consumers (buyers) and producers
(sellers) on their market activity and the production and pricing decisions of firms
Macroeconomics - 🧠 ANSWER ✔✔uses measures of total economic activity, or
economic aggregates, such as gross domestic product, inflation, and the national
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COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, unemployment rate to gauge the performance of the overall economy; main focus
is the economy as a whole
2
Positive Economics - 🧠 ANSWER ✔✔uses factual information and economic
analysis to identify what is without making a value judgment; looks at a situation,
often using information both past and present to assess the situation without
evaluating it as, for example, good or bad
Normative Economics - 🧠 ANSWER ✔✔evaluates a situation with respect to what
should be which requires a value judgment; takes a subjective approach to a
situation and attempts to classify it as good or bad, desirable or undesirable, right
or wrong
Positive Microeconomics- example - 🧠 ANSWER ✔✔"People are likely to buy
more new cars if the price of new cars fall substantially."
Positive Macroeconomics- example - 🧠 ANSWER ✔✔"The unemployment rate
increases when the economy is in a recession."
Normative Microeconomics- examples - 🧠 ANSWER ✔✔"Parking on college
campuses should be free for students enrolled in college."
Normative Macroeconomics- examples - 🧠 ANSWER ✔✔"Raising taxes on
corporations and wealthy individuals is the best way to balance the federal budget."
100% GUARATEED SUCCESS
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
Questions and Detailed Answers | Get it
1
100% Correct Answers
Economics - 🧠 ANSWER ✔✔a social science that studies how choices are made
and the consequences of those choices
Economy - 🧠 ANSWER ✔✔refers to all the decisions, or choices, made by
economic agents within a given geographic area that involve the use of scarce
resources
Economic System - 🧠 ANSWER ✔✔the way a society is organized to decide what
outputs to produce and to decide who gets to consume those outputs
Microeconomics - 🧠 ANSWER ✔✔studies the individual parts of the economy: the
households, the firms, the markets, and the various organizations that exist within
the economy; the main focus is the behavior of consumers (buyers) and producers
(sellers) on their market activity and the production and pricing decisions of firms
Macroeconomics - 🧠 ANSWER ✔✔uses measures of total economic activity, or
economic aggregates, such as gross domestic product, inflation, and the national
100% GUARATEED SUCCESS
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, unemployment rate to gauge the performance of the overall economy; main focus
is the economy as a whole
2
Positive Economics - 🧠 ANSWER ✔✔uses factual information and economic
analysis to identify what is without making a value judgment; looks at a situation,
often using information both past and present to assess the situation without
evaluating it as, for example, good or bad
Normative Economics - 🧠 ANSWER ✔✔evaluates a situation with respect to what
should be which requires a value judgment; takes a subjective approach to a
situation and attempts to classify it as good or bad, desirable or undesirable, right
or wrong
Positive Microeconomics- example - 🧠 ANSWER ✔✔"People are likely to buy
more new cars if the price of new cars fall substantially."
Positive Macroeconomics- example - 🧠 ANSWER ✔✔"The unemployment rate
increases when the economy is in a recession."
Normative Microeconomics- examples - 🧠 ANSWER ✔✔"Parking on college
campuses should be free for students enrolled in college."
Normative Macroeconomics- examples - 🧠 ANSWER ✔✔"Raising taxes on
corporations and wealthy individuals is the best way to balance the federal budget."
100% GUARATEED SUCCESS
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
