The incentives matter principle states that ____________________

people respond to incentives in predictable ways

An economic enigma is _________________.

an economic question/riddle answered using economic analysis

A tradeoff is best described as _________________.

choosing one thing over another

studbud

Economics Basics

12 termsStudBud Administration160 plays

Economics Review

Flashcards12 cardsFPractice quizPHost liveL

Questions 12

Answers

1
The incentives matter principle states that ____________________
people weigh costs vs benefits when making decisions
people respond to incentives in predictable ways
people make tradeoffs daily
markets bring buyers and sellers together
2
The BEST example of a negative incentive would be which of the following?
BOGO
Sales
Coupons
Fines
3
Which of the following best describes scarcity?
unlimited resources
limited resources
coupons
making choices
4
What is Mrs. Cabrera's dog named?
Widow
Blackie
Shadow
Sasha
5
The picture below is an example of which economic principle?
positive incentives
negative incentives
foot in door technique
scarcity forces tradeoffs
6
An economic enigma is _________________.
an economic question/riddle answered using economic analysis
solved best by not using economic analysis
a mystery in economics
an unanswerable economic question
7
Opportunity cost is most closely associated with which other economic term?
Demand
Tradeoff
Surplus
Enigma
8
A tradeoff is best described as _________________.
an economic riddle or question
choosing one thing over another
having a lack of resources
the amount of goods in a market
9
Bringing buyers and sellers together is key to which principle of economics?
Scarcity Forces Tradeoffs
Trade Makes People Better Off
Markets Coordinate Trade
Buyers and Sellers Cooperate
10
Which of the following is NOT one of the seven principles of economic thinking?
Scarcity forces tradeoffs
incentives matter
cost vs benefits
supply vs demand
11
The "no-free-lunch" principle is most closely associated with which economic principle?
Thinking At the Margin
Scarcity Forces Tradeoffs
Cost vs Benefits
Trade Makes People Better Off
12
Economics is about all of the following EXCEPT:
only money
making better decisions
making policy recommendatoins
analyzing how economics work

Economics Basics Flashcards | StudBud