Introduction to Economics and Microeconomics

<p>A general increase in the prices of goods and services (A)</p> Signup and view all the answers

<p>A single seller (D)</p> Signup and view all the answers

<p>Responsiveness of quantity to changes in price (C)</p> Signup and view all the answers

<p>Influencing economic activity through spending and taxation (B)</p> Signup and view all the answers

<p>Externalities affecting third parties (D)</p> Signup and view all the answers

<p>Periods of expansion and contraction in GDP (D)</p> Signup and view all the answers

<p>Classical Economics (B)</p> Signup and view all the answers

<p>A country can produce a good at a lower opportunity cost than another country (A)</p> Signup and view all the answers

<p>Money supply's role in inflation and growth (B)</p> Signup and view all the answers

<p>Restricting international trade through tariffs and quotas (D)</p> Signup and view all the answers

The study of how societies allocate scarce resources to satisfy unlimited wants and needs. It examines the production, distribution, and consumption of goods and services.

It focuses on the behavior of individual agents and firms in markets, analyzing things like supply and demand, market structures, and the interaction of buyers and sellers.

It studies the economy as a whole, focusing on aggregates like GDP, inflation, unemployment, and economic growth, and how government policies influence these variables.

The quantity of a good or service that producers are willing and able to offer at various prices.

The quantity of a good or service that consumers are willing and able to buy at various prices.

The situation where the quantity supplied equals the quantity demanded at a specific price. This determines the market price and quantity traded.

The use of government spending and taxation policies to influence economic activity, including stimulating demand through spending or raising taxes to slow down growth.

Actions taken by a central bank to manipulate the money supply and credit conditions to stimulate or restrain economic activity, using tools like interest rates and reserve requirements.

Fluctuations in economic activity, characterized by periods of expansion (growth) and contraction (recession) in GDP.

An economic school of thought emphasizing free markets, limited government intervention, and the self-regulating nature of the economy.

An economic school of thought advocating for government intervention to stabilize the economy during recessions and depressions, through fiscal policy.

The ability of a country to produce a good or service at a lower opportunity cost than another country.

Policies that restrict international trade, such as tariffs and quotas, to protect domestic industries.