Introduction to Microeconomics Flashcards
Any economic problem arises when
Resources are scarce and have alternative uses
Theory of production studies is the problem of
What to produce and in what quantity
_________ of sources is necessary for the development of economy
Growth
Scarcity is the mother of all _______ problems
Economic
Monu decided to join an NCC camp this year which required and entry fee of 3000 during the summer vacation by not opting for usual part time job which he used to do in previous year and earn 10000 rupees.
what will be the opportunity cost in this case
10000 rupees
What is meant by ‘Public Good”?
Public goods are goods that are commonly available to all people within a society or community and that possess two specific qualities: they are non-excludable and non-rivalrous. Everyone has access to use them, and their use does not deplete their availability for future use.
Non-excludability
Individuals or groups of individuals can’t be specifically excluded from using the goods
Non-rivalry
The use of the goods by some individuals doesn’t cause a reduction in their availability to others, which would thereby violate the first quality
Which of the following economists divided economics into two subsequent branches i.e. Microeconomics and Macroeconomics.
1) Alfred Marshall
2) David Ricardo
3) Ragnar Frish
4) John Maynard Keynes
Ragnar Frish
(Ragnar Kittil Frisch was a Norwegian econometrician and economist who was a winner of the 1969 Nobel Prize for Economics.)
