S Which one of the following is the most accurate definition of economics? Econo

Question

S Which one of the following is the most accurate definition of economics? Economics is the study of how consumers choose to spend their income. 6 a Economics is the study of stocks and bonds b. Economics is the study of how people alloeate unlimited resources d. Economies is the study of how society chooses to allocate scarce resources a microeconomics concentrates on individual markets while macroeconomics focuses b microeconomics concentrates on the behavior of individual consumers while macroeco- c. | microeconomics concentrates on the behavior of individual consumers and firms while d. The basic difference between macroeconomics and microeconomics is: primarily on international trade. nomics focuses on the behavior of firms. macroeconomics focuses on the performance of the entire economy microeconomics explores the causes of inflation while macroeconomics focuses on the causes of unemployment 7. Which of the following is not a resource? a. Land b. Labor Money Capital 8. Which of the following would an ecomomist classify as capital? 100 shares of Microsoft stock. b. S50 bill. e. crodit card lawyer's personal computer

Explanation / Answer

5.Correct option: D.
Explanation: economics is a science, in which we study the behaviour of consumer and society towards the creation, utilisation and management of resources, that are rare in nature.

6. C

Explanation: as their name suggests, 'micro'economics deals with the behaviour of individual consumer such as demand, supply, equilibrium, structure of Market etc.

In ''macro'economics, we study about the whole economy as a whole like estimation of GDP, employment, inflation, interest rates, money supply etc.

7. Correct option: C.

Explanation: land, labour and capital are basic resources in a business, which are used as an input for production.

Money and capital may sound same, but when it comes to business, word 'capital' is used. money is not specific, it is just a mean to purchase goods and services and capital is wealth, used to manage a business.

8. D.

Explanation: capital is basically investment made in goods or equipments, which are used to produce goods.

a lawyer's computer is used to produce legal research and to generate various documents.

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.