Economics
Final
Exam
Review
1
100
The situation in which some necessities have little value while some non necessities have a much higher value is known as
What is paradox of value
100
manufactured goods needed to produce other goods and services are called
What is capital goods
100
to arrive at an economic decision, a decision making grid may be used to evaluate
What is alternative choices of action
100
division of labor is a characteristic of
What is assembly line production
100
the study of economics is important because it enables us to
What is become better decision makers
200
the dollar value of all final goods and services and the most comprehensive measure of a country's total production output is
What is GDP
200
A popular model used to illustrate the concept of opportunity cost is
What is the ppf
200
an economy at its ppf is operating
What is at full potential
200
the purpose of government in a command economy is to
What is make major economic decisions
200
an example of a market economy is
What is the USA
300
Which of the following is NOT considered an economic and social goal
What is entrepreneurship
300
Which group of people ultimately determines the products that a free enterprise economy produces
What is consumers
300
the US can best be described as having a
What is a modified private enterpise system
300
the minimum wage is an example of a federal law that supports
What is economic equity
300
the concept of voluntary exchange means
What is people freely and willingly engage in market transactions
400
for most products and services, increased price results in
What is demand for fewer products
400
an increase in the price of milk causes a decrease in the demand for cereal. the two products are
What is complements
400
advertising, fashion trends, and new product introductions serve to
What is create consumer demand
400
because a modest price increase has little or no effect, the demand for the product is
What is inelastic
400
a demand schedule shows
What is a listing of various quantitiets demanded of a particular product at all prices that might prevail in the market
500
Consumers' willingness to replace a costly item with a less costly item is an example of
What is the subsitution effect
500
when a customer's need for a product is not urgent, demand tends to be
What is elastic
500
when a manufacturer of pain medication reduced the price of medication by 30%; profits declined by 30%; demand for the product is
What is unit elastic
500
all of the following can change the market supply curve except
What is a change in demand for the product
500
the supply of a product normally decreases if
What is taxes on the product increase
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