Basic Economics
He is considered the founding father of modern economics.
Who is Adam Smith?
It is what the acronym TINSTAAFL means.
What is, there is no such thing as a free lunch?
This is a temporary condition when there are not enough goods and services to meet demand.
What is a shortage?
This system answers the three economic questions through religion and custom.
What is traditional economics?
Advanced economies feature this- when individuals work to perfect a particular skill or talent.
What is specialization?
This French phrase is associated with free market capitalism and means “let do.”
What is laissez-faire?
According to classical economics, man is driven by this- what some might call selfishness.
What is rational self interest?
In economics, this word can mean “machines.”
What is capital?
This system answers the three economic questions through central planning.
What is command economics?
This is when a trade takes place without any money changing hands.
What is barter?
This is the study of individual firms and households.
What is microeconomics?
This word means “added or extra.”
(What is marginal?
These are the three factors of production.
What are land, labor, and capital?
This system answers the three economic questions through the markets themselves.
What is market economics?
These are reasons for people to behave in a particular way, usually predictably.
What are incentives?
This type of economic statement can be proven or disproven using facts.
What is positive economics?
This phrase describes how production, consumption, and distribution occur without any coordination.
What is the Invisible Hand of the Market?
In their decisions, consumers try to maximize this, also meaning satisfaction.
What is utility?
He wrote the Communist Manifesto.
Who is Karl Marx?
This is the role the government plays in the modern U.S. economy.
What is regulator?
This condition is the fundamental problem of economics.
What is scarcity?
This Latin phrase is used to assume other problems away and means “all other things remain constant.”
What is ceteris paribus?
Students are less likely to study on a Friday night than the night before a test because this is too low.
What is the opportunity cost?
This book on microeconomics was written in 1776 by a Scottish philosopher.
What is The Wealth of Nations?
Communist theory holds that this class owns the means of production.
What is the bourgeoisie?