This assignment is based on chapter 1
Mach the following concepts in BOLD and the following definitions (1-7)
- Is a social science that deals with how individuals and societies choose to use their scare resources to produce goods and services to satisfy the unlimited human wants
- Studies the economy as a whole or econ0my sub aggregates as consumption, investment, money supply, unemployment, and inflation
- Studies the decision making made by individuals, firms, and workers
- Focuses on fact and cause effect relationship
- The second best alternative
- Incorporates value judgment about what the economy should be like or what particular policy action should be to achieve particular goals.
- Maximum amount of goods and services that can be produced for given resources and the economy is fully employed.
Normative economics, positive economics, economics, the PPC, macroeconomics, microeconomics, and opportunity cost.
Use the following production possibilities table for producing pizza and robots to answer the following three questions
- What is the maximum amount of pizza that could be produced in this economy of all available resources are used to produce pizza only?
- What is the maximum amount of robots that could be produced if all resources are used to produce robots?
- What is the opportunity cost of producing the first unit of pizza?
- What the opportunity cost of procuring the 3rdunit if pizza?