ECON 1000: EXAM 1 (CH 1, 2, 3) QUESTIONS AND VERIFIED
ANSWERS |100% CORRECT | ALREADY GRADED A
Tom Garr Quotes Correct Answers Profit = economic surplus
Measure Man's ability to meet his payroll
Nature of man to always do better [don't want to be told what to do]
Doing something gets better--> keep doing it (Incentive Principle)
Charles Goodyear
-Vulcanization (rubber to hard form)
Think about other side
-Impact I took had was less pain for that alternative, on the right track
Efficiency or Fairness
Car dealership: service drives sales
Sales: most important is the 2nd time product is bought
Doctors win 86% of restitution lawsuits
,Evolution
Mom&Pop stores-> Walmart-> Amazon
economics Correct Answers the social science that studies how people
make decisions in the face of SCARCITY and the resulting impact of
such decisions on both society as a whole and the individual members
therein.
Finite Resources
Most efficient way to apply limited resources (money, labor)
Enterprise: What makes $ change?
Willingness of buyer and seller
ex. 1 pen, 1 suppler with only 100 pens; $20 choices to spend on food or
clothes
scarcity Correct Answers a universal phenomenon that arises because
resources are limited.
Maximize profit=economic surplus
Change in prices influence decisions
ex: locksmiths
tradeoffs Correct Answers the recognition that in many situations
acquiring more of one thing can often only be done at the expense of
,getting by with less of something else.expense of getting by with less of
something else.
ex get return on money and labor
Best chance of success
microeconomics Correct Answers the study of how individual decision
maker behave and interact with each other, often with a focus on how
households and firms behave and interact with each other in markets.
1 company/individual
macroeconomics Correct Answers the study of the functioning and
performance of a society's economy as a whole, often with a focus on
levels of and changes in aggregate measures such as the inflation rate,
unemployment rate, and gross domestic product growth rate
Entire economi
focus on levels of and changes in aggregate measures such as the
inflation rate, unemployment rate, and gross Correct Answers
domestic product growth rate Correct Answers
, positive statement Correct Answers a statement that aims to describe
how the world actually is or actually functions.
FACT
ex. julio jones caught 6 passes
normative statement Correct Answers a statement that aims to assess the
desirability of how the world is or functions, perhaps with suggestions
of things that could be done to improve matters.
PREDICTION
say what you think will happen
ex KSU football will have a good season
rational decision maker Correct Answers someone with a well‐defined
goal, who takes actions to achieve the goal as best as possible.
SELF INTEREST
with available info & make rational well defined goal
total benefits Correct Answers the gains that a person realizes from
taking an action.
SALES
ANSWERS |100% CORRECT | ALREADY GRADED A
Tom Garr Quotes Correct Answers Profit = economic surplus
Measure Man's ability to meet his payroll
Nature of man to always do better [don't want to be told what to do]
Doing something gets better--> keep doing it (Incentive Principle)
Charles Goodyear
-Vulcanization (rubber to hard form)
Think about other side
-Impact I took had was less pain for that alternative, on the right track
Efficiency or Fairness
Car dealership: service drives sales
Sales: most important is the 2nd time product is bought
Doctors win 86% of restitution lawsuits
,Evolution
Mom&Pop stores-> Walmart-> Amazon
economics Correct Answers the social science that studies how people
make decisions in the face of SCARCITY and the resulting impact of
such decisions on both society as a whole and the individual members
therein.
Finite Resources
Most efficient way to apply limited resources (money, labor)
Enterprise: What makes $ change?
Willingness of buyer and seller
ex. 1 pen, 1 suppler with only 100 pens; $20 choices to spend on food or
clothes
scarcity Correct Answers a universal phenomenon that arises because
resources are limited.
Maximize profit=economic surplus
Change in prices influence decisions
ex: locksmiths
tradeoffs Correct Answers the recognition that in many situations
acquiring more of one thing can often only be done at the expense of
,getting by with less of something else.expense of getting by with less of
something else.
ex get return on money and labor
Best chance of success
microeconomics Correct Answers the study of how individual decision
maker behave and interact with each other, often with a focus on how
households and firms behave and interact with each other in markets.
1 company/individual
macroeconomics Correct Answers the study of the functioning and
performance of a society's economy as a whole, often with a focus on
levels of and changes in aggregate measures such as the inflation rate,
unemployment rate, and gross domestic product growth rate
Entire economi
focus on levels of and changes in aggregate measures such as the
inflation rate, unemployment rate, and gross Correct Answers
domestic product growth rate Correct Answers
, positive statement Correct Answers a statement that aims to describe
how the world actually is or actually functions.
FACT
ex. julio jones caught 6 passes
normative statement Correct Answers a statement that aims to assess the
desirability of how the world is or functions, perhaps with suggestions
of things that could be done to improve matters.
PREDICTION
say what you think will happen
ex KSU football will have a good season
rational decision maker Correct Answers someone with a well‐defined
goal, who takes actions to achieve the goal as best as possible.
SELF INTEREST
with available info & make rational well defined goal
total benefits Correct Answers the gains that a person realizes from
taking an action.
SALES
