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AP MACROECONOMICS FINALACTUAL Questions and CORRECT Answers

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  • Course
  • Macroeconomics 101
  • Institution
  • Macroeconomics 101

AP MACROECONOMICS FINALACTUAL Questions and CORRECT Answers economics - CORRECT ANSWER - ..., the study of how society manages its scarce resources scarcity - CORRECT ANSWER - ...not enough to go around resources - CORRECT ANSWER - ...simple things that satisfy human wants, used to make ot...

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  • December 25, 2024
  • 18
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
  • Macroeconomics 101
  • Macroeconomics 101
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MGRADES
AP MACROECONOMICS FINAL ACTUAL
Questions and CORRECT Answers
economics - CORRECT ANSWER - ..., the study of how society manages its scarce
resources


scarcity - CORRECT ANSWER - ...not enough to go around



resources - CORRECT ANSWER - ...simple things that satisfy human wants, used to
make other things


ceteris paribus - CORRECT ANSWER - ..., all other things held constant



trade-offs - CORRECT ANSWER - ..., all the alternatives that we give up whenever we
choose one course of action over another


macroeconomics - CORRECT ANSWER - ...the study of aggregate economic variables.
And the national and global economy


microeconomics - CORRECT ANSWER - ...study of decisions individual businesses make



marginal - CORRECT ANSWER - ...additional



command economy - CORRECT ANSWER - ...central authority makes decisions on
production and consumption. (Soviet Union)


positive economics - CORRECT ANSWER - ..., An approach to economics that seeks to
understand behavior and the operation of systems without making judgments. It describes what
exists and how it works.

,normative economics - CORRECT ANSWER - ..., the part of economics involving value
judgments about what the economy should be like; focused on which economic goals and
policies should be implemented; policy economics


land - CORRECT ANSWER - ...production resources from nature. (water trees) pay rent.



labor - CORRECT ANSWER - ...human resources. (physical effort, knowledge and skills).
Pay wages, salary.


capital - CORRECT ANSWER - ...produced tools of the trade. (buildings, machines,
tools). pay interest.


entrepreneurship - CORRECT ANSWER - ...the intelligence, imagination and ability to
take risks needed to start up and maintain a business (Bill Gates). profit.


market economy - CORRECT ANSWER - producers and consumers decide what is made,
how much, and for whom.


full employment - CORRECT ANSWER - ...all resources are being used efficiently



full production - CORRECT ANSWER - ..., our nations resources are being allocated in
the most efficient manner possible


consumer vs. capital goods - CORRECT ANSWER - ...consumer goods are:shoes food,
clothes. capital goods are man-made tools of production: a fishing boat, a machine.


production possibilities curve - CORRECT ANSWER - ... illustrates trade-offs and the
optimum efficiency


opportunity cost - CORRECT ANSWER - ...what must be given up to get what you want

, economic growth - CORRECT ANSWER - ...expansion of the production possibilities
frontier.


economic system - CORRECT ANSWER - ...how the questions "what to produce?", "how
to produce it?" and "For whom is it produced?"


traditional economy - CORRECT ANSWER - ..economic decisions made based on what
has always been done. traditions.


circular flow model - CORRECT ANSWER - ...represents transactions in an economy



demand (curve) - CORRECT ANSWER - graphed demand schedule



demand schedule - CORRECT ANSWER - ...how much consumers will be willing and
able to buy at all different price levels


Quantity demanded - CORRECT ANSWER - ...actual amount consumers are willing and
able to buy at a specific price


law of demand - CORRECT ANSWER - ...at a higher price, less is demanded.



factors of demand - CORRECT ANSWER - TRIBE
Tastes
Related goods (price)
Income
# of Buyers
price Expectations

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