Economics Fundamentals

Questions and Answers

What is the primary focus of economics as a field of study?

The study of choice (correct)

The study of job creation

The study of human behavior

The study of the environment

Why do individuals have to make choices?

Because they have conflicting desires (correct)

Because they have unlimited resources

Because they are forced to by society

Because they want to achieve a specific goal

What is a key aspect of the economic way of thinking?

A focus on the environment and conservation

A focus on job creation and economic growth

A focus on the arts and education

A unique perspective on the world that differs from other disciplines (correct)

Why do societies have to make choices?

Because they have conflicting desires and limited resources Signup and view all the answers

What is an example of a choice that an individual might face?

All of the above Signup and view all the answers

What is a trade-off that society might face?

Between a cleaner environment and faster economic growth Signup and view all the answers

What is the main reason economics is considered a social science?

Because it involves the study of people and their behavior Signup and view all the answers

Why is economics also described as a science?

Because it uses a scientific approach in its investigation of choices Signup and view all the answers

What do economists study in their investigation of choices?

The alternatives available to people Signup and view all the answers

What is a common characteristic of economics and natural sciences?

The use of a scientific approach Signup and view all the answers

What do people have to do when faced with alternatives?

Choose one alternative Signup and view all the answers

What is the primary reason economics examines people and their behavior?

To investigate how people make choices among alternatives Signup and view all the answers

Why does economics use a scientific approach in its investigation of choices?

To gather data and make predictions about human behavior Signup and view all the answers

What is a key characteristic of economics as a social science?

It studies the behavior of people and societies Signup and view all the answers

What is a common goal of economics and natural sciences?

To use a scientific approach in investigation Signup and view all the answers

Why do economists investigate the choices people make?

To understand how people allocate resources Signup and view all the answers

Study Notes

What is Economics?

Economics is the study of choice, which is a fundamental aspect of human experience.
The scope of economics is vast, encompassing various aspects of life, including family, arts, education, crime, sports, and job creation.

Individual Choices

Individuals make choices based on their preferences and priorities.
Choices often involve trade-offs, e.g., getting better grades may require more time studying, leading to less relaxation and entertainment.

Societal Choices

Society also makes choices that reflect its priorities and values.
Societal choices often involve conflicting goals, such as a cleaner environment versus faster economic growth.
Such choices require careful consideration and balancing of competing interests.

The Economic Way of Thinking

Economics is defined by its unique approach to investigating the world, rather than the specific subjects it studies.
The economic way of thinking provides a distinct perspective that differs from other disciplines.
This unit aims to introduce students to the economic way of thinking.

Definition of Economics

Economics is a social science that studies how individuals make choices among available alternatives
Economics involves the study of people and their behavior, making it a social science
Economics uses a scientific approach to investigate these choices, making it a science

Definition of Economics

Economics is a social science that studies how individuals make choices among available alternatives
Economics involves the study of people and their behavior, making it a social science
Economics uses a scientific approach to investigate these choices, making it a science