Econ 202 CSU Test 1 2026 Exam
Questions and Verified Answers
| Already Graded A+
Economic top 3 - 🧠 ANSWER ✔✔1. WHAT to produce with our limited
resources
2. HOW to produce the goods and services we select
3. FOR WHOM goods and services are produced - that is, who should get
them
,Scarcity - 🧠 ANSWER ✔✔lack of enough resources to saCsfy all desired
uses of those resources
• Scarcity of resources limits the amount of goods and services that can be
produced
Factor of Production - 🧠 ANSWER ✔✔resource inputs used to produce
goods and services
ceteris paribus - 🧠 ANSWER ✔✔the assumption of nothing else changing
Macroeconomics - 🧠 ANSWER ✔✔The study of aggregate economic
behavior, of the economy as a whole
Microeconomics - 🧠 ANSWER ✔✔The study of individual behavior in the
economy, of the components of the larger economy
Positive analysis - 🧠 ANSWER ✔✔focuses on "what is"
based on facts
Normative analysis - 🧠 ANSWER ✔✔focuses on "what should be"
based on opinions and judgments
, Market Failure - 🧠 ANSWER ✔✔If the market does not produce the mix of
goods that society desires...
• This provides an opening for government to step in
• If government can move us closer to the mix society
desires, the intervenCon is successful
Government Failure - 🧠 ANSWER ✔✔However, government can do the
opposite, or impose such high costs that a failure occurs
Mixed Market - 🧠 ANSWER ✔✔In general, the market is highly efficient
in producCon of many goods and services.....
.... but government maintains overall balance in the economy
Government Directive - 🧠 ANSWER ✔✔• Karl Marx and John Maynard
Keynes advocated for government intervenCon, but to different degrees
• Decisions about what, how, and for whom would be made by poliCcal
leaders and bureaucrats
Market Mechanism: top 3 - 🧠 ANSWER ✔✔• WHAT to produce? Produce
goods and services that customers want
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
Questions and Verified Answers
| Already Graded A+
Economic top 3 - 🧠 ANSWER ✔✔1. WHAT to produce with our limited
resources
2. HOW to produce the goods and services we select
3. FOR WHOM goods and services are produced - that is, who should get
them
,Scarcity - 🧠 ANSWER ✔✔lack of enough resources to saCsfy all desired
uses of those resources
• Scarcity of resources limits the amount of goods and services that can be
produced
Factor of Production - 🧠 ANSWER ✔✔resource inputs used to produce
goods and services
ceteris paribus - 🧠 ANSWER ✔✔the assumption of nothing else changing
Macroeconomics - 🧠 ANSWER ✔✔The study of aggregate economic
behavior, of the economy as a whole
Microeconomics - 🧠 ANSWER ✔✔The study of individual behavior in the
economy, of the components of the larger economy
Positive analysis - 🧠 ANSWER ✔✔focuses on "what is"
based on facts
Normative analysis - 🧠 ANSWER ✔✔focuses on "what should be"
based on opinions and judgments
, Market Failure - 🧠 ANSWER ✔✔If the market does not produce the mix of
goods that society desires...
• This provides an opening for government to step in
• If government can move us closer to the mix society
desires, the intervenCon is successful
Government Failure - 🧠 ANSWER ✔✔However, government can do the
opposite, or impose such high costs that a failure occurs
Mixed Market - 🧠 ANSWER ✔✔In general, the market is highly efficient
in producCon of many goods and services.....
.... but government maintains overall balance in the economy
Government Directive - 🧠 ANSWER ✔✔• Karl Marx and John Maynard
Keynes advocated for government intervenCon, but to different degrees
• Decisions about what, how, and for whom would be made by poliCcal
leaders and bureaucrats
Market Mechanism: top 3 - 🧠 ANSWER ✔✔• WHAT to produce? Produce
goods and services that customers want
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2026. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
