______ Latin term that used in economics means all other non-price factors that affect the amount we consume or produce do not change.
Ceteris ParibusCorrectCorrect
________ represent a cost to not only individuals but also the macroeconomy or reduce overall economic efficiency in that they represent an unnecessary cost of transforming resources into final goods and services.
Menu costsCorrectCorrect
_________ is a very small increase of decrease in the quantity of some variable.
Marginal changeCorrectCorrect
_________ is the level of output at which the labor market is at its natural rate of unemployment.
Full Employment OutputCorrectCorrect
_________ represents a combination of percentage change and marginal analysis.
ElasticityCorrectCorrect
__________ a variable that depends on the value of the independent variable(s) can be seen in the left side of the equation.
Dependent variableCorrectCorrect
__________ is also referred to as a direct relationship. As the value of X increases, the value of Y increases.
PositiveCorrectCorrect
__________ is an advantage of a person who can produce a good or service with fewer resources than another person.
AbsoluteCorrectCorrect
__________ is described as a fixed-weight price index (also referred to as a Laspeyres price index), which measures the cost of a fixed basket of goods relative to a base period
current-year total cost of market basket of goods and services / base-year total cost of market basket of goods and servicesCorrect
__________ is when many suppliers and many consumers engaged in trade without interference from government.
Competitive Free MarketCorrectCorrect
__________ Unemployment is associated with business cycles and, more particularly, with temporary downturns in the economy
___________ = Labor Force / Civilian Non institutional Population * 100
Participation RateCorrectCorrect
___________ a legal requirement that maintains the market price above the equilibrium price.
Price FloorCorrectCorrect
___________ as the price of a good or service increases the quantity you would be willing and able
Law of SupplyCorrectCorrect
___________ is a legal requirement that maintains the market price below the equilibrium price.
Price CeilingCorrectCorrect
___________ is a term used to denote a very high rate of inflation.
HyperinflationCorrectCorrect
___________ is also known as the Implicit GDP Deflator or Implicit Price
Nominal (current-dollar) GDP /Real (constant-dollar) GDP *Correct
___________ is nominal wage corrected for the average level of prices.
Real wageCorrectCorrect
___________ is the amount of labor demanded by firms at a given real wage rate.
Labor Demand CurveCorrectCorrect
___________ relates to the effect that a small or unit change one variable has on another variable.
Marginal analysisCorrectCorrect
____________ a graph that indicates all possible combinations of two goods or services that can be produced within an economy given the full and efficient use of all available resources.
Production Possibilities curveCorrectCorrect
____________ is when we specialize and both benefit after the exchange
Positive sum gameCorrectCorrect
_____________ unemployment arising from frictional, structural, and seasonal unemployment, further as described as the unemployment rate that coexists with macroeconomic stability.
Natural Rate of UnemploymentCorrectCorrect
______________ - average output per hour of labor (e.g., total real GDP divided by the total number of labor-hours worked)
ProductivityCorrectCorrect
______________ is a movement along a fixed supply curve in response to a change in the price of that good, ceteris paribus (everything else unchanged).
Change on Quantity SuppliedCorrectCorrect
______________ is the characteristic of money or currency where it can be used as a medium of exchange for any good or service.
General Purchasing PowerCorrectCorrect
__________________ - the market value of final goods and services (i.e., sold to final
Nominal Gross Domestic Product (GDP)Correct
_____________________- the market value of final goods and services produced by labor and property supplied by the residents of a nation during a specific period, usually year
Nominal Gross National Product (GNP)CorrectCorrect
____________________the amount by which the value of a firm's finished products exceeds the value of goods and services the firm purchases
Value AddedCorrectCorrect
____________consists of transactions that are not documented for various reasons.
Underground economyCorrectCorrect
___________, as more scarce resources are used to increase production of one good or service, production of another good or service falls by larger and larger amount.
Increase Opportunity CostCorrectCorrect
___________if a person can produce a good or service with lower opportunity cost than can another
Comparative advantageCorrectCorrect
___________is the amount that the quantity demanded exceeds the quantity supplied when the market price is below the equilibrium price.
ShortageCorrectCorrect
___________is the quantity of goods and services that can be purchased with a given amount of money; the value of money
Purchasing PowerCorrectCorrect
__________- percentage rate of increase in the price index per period.
Inflation RateCorrectCorrect
__________as the price of a good or services increases, the quantity you would be willing and able to purchase during some period of time declines.
Law of DemandCorrectCorrect
__________as the shift of the supply curve in response to a change in one of the variables assumed to be held constant under the ceteris paribus assumption (e.g., technology), holding the good's price constant.
Change in SupplyCorrectCorrect
__________is the amount that the quantity supplied exceeds the quantity demanded when the market price is above the equilibrium price.
SurplusCorrectCorrect
__________is the measure of the average level of prices for some specified bundle of goods and services, relative to the prices in a specified base year
Price IndexCorrectCorrect
__________is the price at which the quantity demanded is equal to the quantity supplied. Other things being unchanged, there is no tendency for this price to change.
Equilibrium PriceCorrectCorrect
A _______ is the opposite situation of a price ceiling.
Price floorCorrectCorrect
A _______is a collection of suppliers and consumers engaged in trade.
MarketCorrectCorrect
A legal requirement that maintains the market price below the equilibrium price.
Price CeilingCorrect
A line showing X and Y pair is referred as ____________.
CurveCorrectCorrect
A market is in _______ when the quantity demanded is equal to quantity supplied at the market price.
EquilibriumCorrectCorrect
A market is in ______________ when the quantity demand is equal to quantity supplied at the market price.
EquilibriumCorrectCorrect
A period of decline in total output, income, employment, and trade, usually lasting from six months to a year.
RecessionCorrectCorrect
A recession that is major both in scale and duration.
DepressionCorrectCorrect
A shift of the demand curve in response to a change in one of the variables assumed to be held constant under the ceteris paribus assumption (e.g., income), holding the good's price constant.
Change in DemandCorrectCorrect
According to __________, that if more of the time is spent in one activity then you must invest your resources to develop specialized tools or machines to aid me in my task.
SmithCorrectCorrect
Accurately describes historical outcomes, and It must make reasonable predictions about the results of future observations.
Good Economic ModelCorrectCorrect
An increase in income leads to a decrease in demand (the demand curve shifts to the left).
Inferior GoodCorrectCorrect
An increase in income leads to an increase in demand (the demand curve shifts to the right).
Normal GoodCorrectCorrect
Analysis of the behavior of an economy as a whole.
MacroeconomicsCorrectCorrect
Analysis of the behavior of individual decision-making units (individuals, households, firms).
MicroeconomicsCorrectCorrect
Another problem with the unemployment rate as a measure of overall labor activity is that the employed may not be working as much as they would like
TRUECorrectCorrect
Cartesian coordinate system is not the usual graphical representation.
FALSECorrectCorrect
Ceteris paribus, means
Other things being equalCorrectCorrect
Civilian Non institutional Population - persons 16 years of age and older who are not inmates of institutions
TRUECorrect
Civilian Non institutional Population - persons years of age and older who are not inmates of institutions
TRUECorrectCorrect
Common characteristics in each of the relationship of two variables is that the change in independent variable X produces a change in dependent variable Y and represented in a math equation.
TRUECorrectCorrect
Compute the opportunity cost , where 10 mobile phones is to 5 Simcards.
The correct answers are: _________ simcard., 1/2Correct
Compute the opportunity cost , where mobile phones is to Simcards
The correct answers are: _________ simcard, /CorrectCorrect
Consumer Price Index (CPI) includes
Only goods and services purchased by households included Quantities fixed (the market basket) Imports (of consumer goods) includedCorrect
Consumer Price Index=Only goods and services purchased by households included Quantities fixed (the market basket) Imports (of consumer goods) included.
TRUECorrect
consumers) produced by a nation during a specific period, usually 1 year.
consumers) produced by a nation during a specific period, usually 1 year.Correct
consumers) produced by a nation during a specific period, usually year
consumers) produced by a nation during a specific period, usually yearCorrectCorrect
Cost-Push Inflation - caused by an increase in the costs of production of goods and services.
TRUECorrectCorrect
Deflation = Decrease in average level of prices
TRUECorrect
Deflation Rate = Price Index Year 2 - Price Index Year 1 /Price Index Year 1 * 100
Price Index Year - Price Index Year /Price Index Year *Correct
Demand-Pull Inflation - caused by an increase in aggregate demand for goods and services.
TRUECorrectCorrect
Economic growth is
The change in the physical output of an economy, typically measured as the change in Real GDPCorrectCorrect
GDP Deflator = Nominal (current-dollar) GDP /Real (constant-dollar) GDP * 100