30 Questions
What is the main focus of economics?
Determining the quantities of goods and services produced
Which of the following best defines self-interest?
Choices that prioritize the individual's best outcome
According to Adam Smith, what concept suggests that pursuit of self-interest can benefit social interest?
Invisible Hand
Why do individuals have to make choices according to the text?
Due to scarcity
What does 'social interest' refer to in economics?
Choices that prioritize society's well-being
How does self-interest differ from social interest?
Self-interest benefits individuals, while social interest benefits society
According to Adam Smith, how did he define economics in his book 'An Inquiry into Nature and Causes of Wealth of Nations'?
As the practical science of production and distribution of wealth
What did Lionel Robbins emphasize in his book 'An Essay on the Nature and Significance of Economic Science' in 1932?
The study of human behavior in relation to resources
What is Alfred Marshall's definition of economics in his book 'Principles of Economics' (1890)?
A study of mankind in ordinary business life
How is economics described as the relationship between ends and scarce means according to Lionel Robbins?
Ends are human wants, means are resources with alternative uses
What is the primary focus of studying economics according to the lecture outline?
The economic problem and why we study economics
In general terms, how is economics defined by mentioning 'the management of scarce resources'?
The process through which society deals with limited resources
In the circular flow model, households are responsible for ________.
Supplying services of factors of production to firms
What do factor markets represent in the circular flow model?
The market where factors of production are bought and sold
What is the purpose of the production possibilities frontier model?
To demonstrate the combinations of goods that can be produced with limited resources
Which assumption is NOT part of the production possibilities frontier model?
Unlimited technology advancements
In the circular flow model, what do the orange flows represent?
Services of factors of production from households to firms
Which market corresponds to the exchange of goods and services in the circular flow model?
Goods markets
What is the key idea that defines the economic way we make choices?
Making rational choices by comparing benefits and costs
What is one of the examples of a tradeoff faced by individuals?
Choosing between studying economics, law, or engineering
In economics, what is the concept of 'cost' defined as?
What you must give up to get something
What is the main idea conveyed by the statement 'There is no such thing as a free lunch'?
Tradeoffs are necessary in decision-making
How do people typically make rational choices according to the text?
By comparing benefits and costs
What is the scale of preference based on?
'List of most preferred choices in descending order of satisfaction'
What is economic growth?
A sustained expansion of production possibilities
How does economic growth occur?
By developing new and better technologies
What is a method of resource allocation mentioned?
Market price
What are consumption goods and services?
Goods that individuals and governments buy and use in the current period
What do capital goods do?
Increase productive resources over future periods
Why is economic growth not free according to the text?
Because it requires investment in new technologies
Study the lecture outline on the principles of economics for real estate by Joseph K. Kidido, covering topics like the overview of economics, economic models, normative and positive positions, and the reasons for studying economics.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
