Unit 1 - Basic Economic Concepts

define marginal cost

the study of total effects on the national/global economy of the choices that businesses/governments/people made

define marginal benefit

economics - the science of...

someone is "rational" if they use all available information to choose an action that makes them as well off as possible

select the matching term; all the alternatives that we give up when we make a choice

due to scarcity, what must be made?

select the matching term; tools created by economists to better understand complicated processes in economics

which of the following is NOT a part of the three basic questions of all economic systems?

the study of choices that people and businesses make and the way these choices interact are influenced by governments

select the matching term; "other things being equal", economists use ___ to unscramble cause and effect

includes value judgements (what ought to be)

every choice has a cost; what is that cost?

economics is the study of...

we have limited wants but unlimited resources

based on facts (what is), avoids value judgements

select the right term: most desirable alternative given up when you make a choice

synonyms of marginal?

select the matching term; rewards or punishments associated with a possible action, how people/businesses made decisions

what is the 1st Pillar of Economic Wisdom?