Chapter 1 Review

Question 1

services

Answer 1

intangible goods produced by labor for which people expect to pay

Question 2

an intangible item for which people will pay

Answer 2

service

Question 3

What economic riddle did Carl Menger solve?

Answer 3

Diamond-Water Paradox

Question 4

the study of specific components within a major economy and how the choices made by individuals, households, and businesses affect that economy

Answer 4

microeconomics

Question 5

a very large number of people to whom very large quantities of products are sold

Answer 5

mass market

Question 6

common course and conditiona

Answer 6

economic system that Governor Bradford found contrary to God’s wisdom

Question 7

the amount of a good that is bought at a certain price under certain conditions

Answer 7

demand

Question 8

economy

Answer 8

any system for the production, distribution, and consumption of goods and services

Question 9

economic forecast

Answer 9

term used for an economist’s prediction of what will happen to an economy

Question 10

persons who work to provide goods

Answer 10

producers

Question 11

intangible goods produced by labor for which people expect to pay

Answer 11

services

Question 12

an item produced directly to satisfy people’s wants

Answer 12

consumer good

Question 13

anything used in the production of a good

Answer 13

capitall good

Question 14

term used for an economist’s prediction of what will happen to an economy

Answer 14

economic forecast

Question 15

microeconomics

Answer 15

the study of specific components within a major economy and how the choices made by individuals, households, and businesses affect that economy

Question 16

economics

Answer 16

the study of the choices that individuals and societies make in the production, distribution, and consumption of goods

Question 17

name given to scholars of the production, distribution, and consumption of goods

Answer 17

economist

Question 18

something difficult to live without

Answer 18

need

Question 19

people who use goods

Answer 19

consumers

Question 20

any system for the production, distribution, and consumption of goods and services

Answer 20

economy

Question 21

good

Answer 21

a tangible item that people want and for which they will pay

Question 22

a mechanism that allows people to exchange goods

Answer 22

market

Question 23

the human desire to have and use a certain good

Answer 23

want

Question 24

a tangible item for which people will pay

Answer 24

good

Question 25

What word is defined as the study of the choices individuals and societies make in production, distribution, and consumption of goods

Answer 25

economics

Question 26

the study of national and international economies and how these major economies are affected by large-scale choices and public policies

Answer 26

macroeconomics

Question 27

Who was the founder of the Austrian school of economics?

Answer 27

Carl Menger

Question 28

macroeconomics

Answer 28

the study of national and international economies and how these major economies are affected by large-scale choices and public policies

Question 29

a tangible item that people want and for which they will pay

Answer 29

good

Question 30

economic model

Answer 30

a theory which seeks ot show the relationships among the various components of an economy

Question 31

the study of the choices that individuals and societies make in the production, distribution, and consumption of goods

Answer 31

economics

Question 32

a theory which seeks ot show the relationships among the various components of an economy

Answer 32

economic model

Question 33

What is the first thing to understand about economics?

Answer 33

All goods have to be worked for

Question 34

What is the quantity of a good for sale at a certain price under certain conditions?

Answer 34

supply

Question 35

the quantity of a good for sale at a certain price under certain conditions; or simply the amount of a good that is produced

Answer 35

supply

Question 36

What is the mechanism that allows people to exchange goods?

Answer 36

market

Question 37

economic system that Governor Bradford found contrary to God's wisdom

Answer 37

common course and conditiona