Chapter 1 - ECON 1500 Exam 2025
With 100% Correct Answers
opportunity cost - CORRECT ANSWER✔✔whatever must be given up to obtain some item
marginal change - CORRECT ANSWER✔✔a small incremental adjustment to a plan of action
("the edge")
market economy - CORRECT ANSWER✔✔an economy that allocates resources through the
decentralized decisions of many firms and households as they interact in markets for goods and
services.
market failure - CORRECT ANSWER✔✔a situation in which a market left on its own fails to
allocate resources efficiently
externality - CORRECT ANSWER✔✔the impact of one person's actions based on the well-being
of a bystander
market power - CORRECT ANSWER✔✔the ability of a single economic actor (or small group of
actors) to have a substantial influence on market prices
productivity - CORRECT ANSWER✔✔the quantity of goods and services produced from each
unit of labor input
inflarion - CORRECT ANSWER✔✔an increase in the overall level of prices in the economy
With 100% Correct Answers
opportunity cost - CORRECT ANSWER✔✔whatever must be given up to obtain some item
marginal change - CORRECT ANSWER✔✔a small incremental adjustment to a plan of action
("the edge")
market economy - CORRECT ANSWER✔✔an economy that allocates resources through the
decentralized decisions of many firms and households as they interact in markets for goods and
services.
market failure - CORRECT ANSWER✔✔a situation in which a market left on its own fails to
allocate resources efficiently
externality - CORRECT ANSWER✔✔the impact of one person's actions based on the well-being
of a bystander
market power - CORRECT ANSWER✔✔the ability of a single economic actor (or small group of
actors) to have a substantial influence on market prices
productivity - CORRECT ANSWER✔✔the quantity of goods and services produced from each
unit of labor input
inflarion - CORRECT ANSWER✔✔an increase in the overall level of prices in the economy
