Econ 211 final exam - Study guides, Class notes & Summaries

**(1)** are suppliers of loanable funds. The quantity supplied **(2)** when interest rates increase. - 1. Households 2. Government/Increases **BLANK 1** are demanders of loanable funds. Quantity demanded **BLANK 2** when interest rates increase. - 1. Firms 2. Decreases A bank is considered insolvent if - Capital (equity) is less than or equal to zero A budget surplus occurs when what happens? - Tax revenue exceeds government expenditures. A price ceiling on a coffee would likely cause wh...

ASU Econ 211 Final Exam with complete solution

What does a production possibilities frontier display? - correct answer Possible combinations of output an economy can produce given available factors of production and technology. What is a normative statement? - correct answer Policymakers should increase the minimum wage to improve standard of living. The opportunity cost of helping a friend move is... - correct answer the next best use of the time and energy spent helping your friend. An entity has a comparative advantage if i...

ASU Econ 211 Final Exam. Questions & answers

ASU Econ 211 Final Exam Practice Questions and Answers What does a production possibilities frontier display? - Answer️️ - Possible combinations of output an economy can produce given available factors of production and technology. What is a normative statement? - Answer️️ -Policymakers should increase the minimum wage to improve standard of living. The opportunity cost of helping a friend move is... - Answer️️ -the next best use of the time and energy spent helping your frie...

_Econ 211 Final Exam

Econ 211 Final Exam

Real Price - ANSWER Adjusted for inflation Nominal price - ANSWER Unadjusted for inflation Endogenous Variables - ANSWER Price, Qsupply, Qdemand. Characterized by movements along a curve Exogenous Variables - ANSWER Technology, costs of production, preferences, HHI. Characterized by a shift of the curve. Market Mechanism - ANSWER tendency in a free market for price to change until the market clears. (Qs=Qd) Surplus - ANSWER Qs > Qd Shortage - ANSWER Qs < Qd ...

ECON 211 - Final Exam 1. Economics Definition: - The study of how society manages its scarce resources. --- 2. Efficiency and Equity Trade-off: - There is often a trade-off between efficiency and equity; society seeks to maximize the use of its scarce resources while attempting to distribute the benefits fairly among its members. --- 3. Opportunity Cost of Going to College Definition: - The value of the best opportunity a student forfeits to attend college. --- 4. Rational ...