Econ 201 Quiz
ECON 201 Macroeconomics
Test #1 Study Guide
CHAPTERS 1 and 2 Introduction and Economic Models
1. Define economics. Differentiate between macro and microeconomics.
2. Explain the concept of scarcity.
3. Explain how marginal costs and marginal benefits influence incentives and choice.
4. Define and explain the difference between efficiency and equity.
5. What is the difference between positive and normative economics?
6. What is ceteris paribus?
7. Explain the concept of opportunity cost. What is the Law of Increasing Opportunity Costs?
8. Define the economizing problem, incorporating the relationship between limited resources and unlimited wants.
9. Construct a production possibilities curve when given the appropriate data.
10. Illustrate economic growth, …show more content…
Identify the major groups of decision makers and the major markets in a market system using the circular flow chart.
15. Identify types of economic resources and the types of income associated with each. (reference circular flow diagram)
16. Differentiate between product and resource markets.
17. Identify the two roles that households and businesses play in the circular flow diagram.
CHAPTERS 3 & 4 Supply and Demand and the Market Strikes Back
NO CONSUMER OR PRODUCER SURPLUS QUESTIONS. NO DEADWEIGHT LOSS QUESTIONS. NO ELASTICITY QUESTIONS.
18. State the Law of Demand and the Law of Supply. What is a market?
19. Differentiate between demand and quantity demanded, supply and quantity supplied.
20. Graph demand and supply curves when given demand and supply schedules.
21. Explain the major determinants of demand (shift demand curve).
22. Explain the major determinants of supply (shift supply curve).
23. What is the determinant of quantity demanded? What is the determinant of quantity supplied?
24. Explain the concept of equilibrium price and quantity and be able to illustrate this graphically and using data.
25. When is a market clearing price or quantity
Test #1 Study Guide
CHAPTERS 1 and 2 Introduction and Economic Models
1. Define economics. Differentiate between macro and microeconomics.
2. Explain the concept of scarcity.
3. Explain how marginal costs and marginal benefits influence incentives and choice.
4. Define and explain the difference between efficiency and equity.
5. What is the difference between positive and normative economics?
6. What is ceteris paribus?
7. Explain the concept of opportunity cost. What is the Law of Increasing Opportunity Costs?
8. Define the economizing problem, incorporating the relationship between limited resources and unlimited wants.
9. Construct a production possibilities curve when given the appropriate data.
10. Illustrate economic growth, …show more content…
Identify the major groups of decision makers and the major markets in a market system using the circular flow chart.
15. Identify types of economic resources and the types of income associated with each. (reference circular flow diagram)
16. Differentiate between product and resource markets.
17. Identify the two roles that households and businesses play in the circular flow diagram.
CHAPTERS 3 & 4 Supply and Demand and the Market Strikes Back
NO CONSUMER OR PRODUCER SURPLUS QUESTIONS. NO DEADWEIGHT LOSS QUESTIONS. NO ELASTICITY QUESTIONS.
18. State the Law of Demand and the Law of Supply. What is a market?
19. Differentiate between demand and quantity demanded, supply and quantity supplied.
20. Graph demand and supply curves when given demand and supply schedules.
21. Explain the major determinants of demand (shift demand curve).
22. Explain the major determinants of supply (shift supply curve).
23. What is the determinant of quantity demanded? What is the determinant of quantity supplied?
24. Explain the concept of equilibrium price and quantity and be able to illustrate this graphically and using data.
25. When is a market clearing price or quantity