Behavior
PPCs
Opportunity
Econ Systems
Mystery :)
100

Describe the difference between two fields of economics. 

Microeconomics - individuals, firms

Macroeconomics - whole economy, countries, trade

100

PPC stands for

Production Possibilities Curve

100

What is an opportunity cost?

The option you forgo / lost

100

The idea that a capitalist economy would be guided by an invisible hand was coined by...

Adam Smith

100

Name the four factors of production. 

Land, Labor, Capital, Entrepreneurship

200

Statements that are based on facts

Positive statements

200

PPCs are used to show...

all of the possible combinations of two goods that can be created from a given set of resources

200

What is an opportunity benefit?

What you gain

benefit = get

200

This motivates people in a capitalist system.

Profits

200

Gabbi's cats are named...

Chomsky and Peach

300

All things that have value are considered ___________.

Scarce

300

What can algebra term represents the marginal opportunity cost?

The slope of a curve

300
I can spend my time playing video games or working for $7.25 minimum wage. What is the opportunity cost of playing 5 hours of video games, assuming these are the only two options?

$36.25

300

This country is the closest to a full command economy, though no pure command economy exists.

North Korea

300

What are the three fundamental questions of economics?

WHAT to produce

HOW to produce

FOR WHOM to produce

400

The underlying assumption of all things equal (Latin)

Ceteris Paribus

400

Standard form is used for linear PPCs where Ax + By = C. What do A, B, and C mean in these equations?

A and B = price of good x and y respectively

C is the budget

400

A country produces two goods, A and B. To increase production from 300 units of A to 350 units of A, it decreases production of good B by 100 units. What is the opportunity cost of the increase of 1 unit of good A?

100/50 = 2 units of Good B

400

Name two pros and two cons of the Nordic model system.

Answers vary. 

400
What role does entrepreneurship play in capitalism?

Entrepreneurship = innovation, which means new goods and services that benefit profit-seeking producers and cost-minimizing consumers.

500

A measurement referring to the satisfaction received from consuming a good or service.

Utility
500

What are the four assumptions of PPCs?

Fixed labor/employment, fixed resources, fixed technology, two goods only

500

Describe the law of increasing opportunity cost. 

As you increase the production of Good A, the opportunity cost to produce the Good A will increase because the resources used would be better used to produce Good B. 

500
The key difference between socialism and Marxist communism is...
Communism strives for a government-less world/economy run by the vanguard 

Socialism promotes a democratically elected central government

500

What is the difference between private property and personal property? 

Private property can be used to create goods/services/profit

Personal property is your own goodies

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