ECON 202 Ole Miss McGinness Final Actual Exam
(2026/2027) — All Questions with Correct Detailed
Answers | Already Graded A+ with Expert Feedback |
Latest Update!!
What is economics? - ANSWER-the study of choice under
the condition of scarcity
What is the difference between microeconomics and
macroeconomics? - ANSWER-MICROECONOMICS = the
study of individual decision making by firms and
individuals
MACROECONOMICS = the study of aggregate behavior,
including unemployment, inflation, recessions, and other
economy-wide phenomenon
,What is opportunity cost? - ANSWER-the forgone best
alternative to any activity
What is absolute advantage and comparative advantage?
- ANSWER-ABSOLUTE = ability to produce more with the
same or more resources
COMPARITIVE = ability to produce with less opportunity
cost
What is the difference between demand and quantity
demanded? - ANSWER-DEMAND = the relationship
between quantity demanded and price
,QUANTITY DEMANDED = the number of units buyers are
willing and able to purchase at a given price
What is the Law of Demand? - ANSWER-As the price
rises, quantity demanded falls. There is a negative
relationship between price and quantity demanded
What happens to demand when price changes? -
ANSWER-If the price of the good increases, quantity
demanded decreases. The Demand Curve does not shift
when price changes!!!
, How do you find a market demand curve? - ANSWER-
summation of all the individual demand curves in a given
market
How does income/wealth affect demand curves for normal
or inferior goods? - ANSWER-Higher income = more
purchases of normal goods
Lower income = more purchases of inferior goods
How does a change in the price of a substitute affect the
demand curve? - ANSWER-When the price of a substitute
good decreases, the quantity demanded for that good
increases, but the demand for the good that it is being
substituted for decreases
(2026/2027) — All Questions with Correct Detailed
Answers | Already Graded A+ with Expert Feedback |
Latest Update!!
What is economics? - ANSWER-the study of choice under
the condition of scarcity
What is the difference between microeconomics and
macroeconomics? - ANSWER-MICROECONOMICS = the
study of individual decision making by firms and
individuals
MACROECONOMICS = the study of aggregate behavior,
including unemployment, inflation, recessions, and other
economy-wide phenomenon
,What is opportunity cost? - ANSWER-the forgone best
alternative to any activity
What is absolute advantage and comparative advantage?
- ANSWER-ABSOLUTE = ability to produce more with the
same or more resources
COMPARITIVE = ability to produce with less opportunity
cost
What is the difference between demand and quantity
demanded? - ANSWER-DEMAND = the relationship
between quantity demanded and price
,QUANTITY DEMANDED = the number of units buyers are
willing and able to purchase at a given price
What is the Law of Demand? - ANSWER-As the price
rises, quantity demanded falls. There is a negative
relationship between price and quantity demanded
What happens to demand when price changes? -
ANSWER-If the price of the good increases, quantity
demanded decreases. The Demand Curve does not shift
when price changes!!!
, How do you find a market demand curve? - ANSWER-
summation of all the individual demand curves in a given
market
How does income/wealth affect demand curves for normal
or inferior goods? - ANSWER-Higher income = more
purchases of normal goods
Lower income = more purchases of inferior goods
How does a change in the price of a substitute affect the
demand curve? - ANSWER-When the price of a substitute
good decreases, the quantity demanded for that good
increases, but the demand for the good that it is being
substituted for decreases
