Exam (elaborations)
UWEC Econ 103 Exam 1 questions well answered to pass
- Course
- Institution
UWEC Econ 103 Exam 1 questions well answered to pass
[Show more]
Content preview
UWEC Econ 103 Exam 1Define micro economics - correct answer ✔✔The study of how households and firms make decisions
and how they interact in markets
Define macroeconomics - correct answer ✔✔the study of economy wide phenomena
Define Opportunity Cost (O. C.) - correct answer ✔✔what is given up to get an item
Define the overall system: Socialism - correct answer ✔✔Means of production is owned by the
GOVERNMENT
Define the overall system: Communism - correct answer ✔✔Means of production is owned by
EVERYONE
- Motivation: Good of the people
- Examples: China, North Korea
Define market force - correct answer ✔✔the interaction between demand and supply. Suggesting that
there are two major stakeholders in the determination of the price of any good.
Law of Demand
- Define
- Picture - correct answer ✔✔All else equal, the quantity demanded of a good falls when the price of a
good rises: the quantity of a good increases when the price of the good falls.
Law of Supply
- Define
- Picture - correct answer ✔✔All else equal, the quantity of a good supplied increases when the price of
a good increases and vice versa.
Factors means that any of these go up or down then the line will change:
, -Price of inputs
-Technology
-Expectations
-Numbers of sales
What is the difference between the quantity demanded and the demand supplied? - correct answer
✔✔demand curve slopes downward, supply curve is upward sloping
Equilibrium:
- define
-provide picture - correct answer ✔✔the quantity supplied equals the quantity demanded
This DOES NOT mean that it will last.
Qd=Qs (quantity)
No surplus or shortage
Define Shortage - correct answer ✔✔too little, the quantity supplied is less than the quantity demanded
Define Surplus - correct answer ✔✔too much, the quantity supplied is greater than the quantity
demanded
define inferior product - correct answer ✔✔When the elasticity of a product is negative
define luxury product - correct answer ✔✔When its elasticity is 1+
define necessity product - correct answer ✔✔When its elasticity is between 0-1
Define norma product - correct answer ✔✔When the elasticity of a product is positive
Demand held constant; supply increases. What happens to the Price? - correct answer ✔✔Price will
decrease
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 BravelRadon. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
85443 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now