Exam (elaborations)
AP Microeconomics Unit 1 Basic Economic Concepts questions with best answers
- Course
- Institution
AP Microeconomics Unit 1 Basic Economic Concepts Exam
[Show more]
Seller
Follow
Content preview
AP Microeconomics Unit 1 BasicEconomic Concepts
Production possibilities curve (PPC) - answersmodel that displays the trade-offs of a
simplified economy that produces only two goods
shows the maximum quantity of one good that can be produced given the quantity of
the other good produced if all resources are fully and efficiently utilized
Trade-off - answersalternatives that are given up whenever a course of action is taken
over others
Productive efficiency (efficient in production) - answerseconomy produces at a point that
is on its PPC
Allocative efficiency (efficient in allocation) - answerscondition in which resources are
used in a way that maximizes social satisfaction or social welfare and requires
normative economic analysis
Inefficient - answersmissing the opportunity to produce more of both goods
Opportunity cost - answersitem that must be given up to obtain some other item
Economics - answersstudy of human decision making and the role of scarcity in choice
Resources - answersanything used to produce something (good, service, or structure)
Land resources - answersnatural resources that are used to produce goods and
services
Labor - answerseffort a person devotes to a task for which that person is paid
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller SALVADO. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
74735 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now