Unit 4: Microeconomics Flashcard

Front

What does marginal mean in the language of economics?

Back

Additional

Front

What does utility mean in the language of economics?

Back

Satisfaction

Front

According to the Law of Diminishing Utility, for every additional unit of something that is consumed, the amount of satisfaction goes UP.

Back

False

Front

Which of the following would be considered a substitute for a strawberry?
Lemon, Rubber, Oil, Raspberry

Back

Raspberry

Front

Which of the following does not have many substitutes?
Lemon, Rubber, Oil, Raspberry

Back

Oil

Front

If a good or service has a lot of substitutes, it is considered to be.

Back

Elastic

Front

If a good or service does not have a lot of substitutes, it is considered to be.

Back

Inelastic

Front

If every consumers needs are being met perfectly and every good that is being made is being sold, what type of efficiency is being achieved?

Back

Allocative Efficiency

Front

According to the concept of price signals, if skinny jeans are selling at high prices, what will happen?

Back

More skinny jeans will be made

Front

When businesses start charging unreasonably high prices for items during an emergency like a hurricane, what is this called?

Back

Price Gouging