Meaning and Scope of Economics

Front

Economics is a science because it __________

Back

uses scientific methods to study human behaviour

Front

Which of the following is not within the scope of economics?

• Resource allocation
• Scarcity
• Building a successful business
• What production should take place

Back

Building a successful business

Front

What is the fundamental economic problem faced by all countries?

Back

Scarcity

Front

Which of the following is not a basic economic problem that an economy must strive to solve?

• Deciding what goods and services to produce
• Determining the most efficient method of production
• Deciding what ought to be the priority of the government
• Deciding for whom the production of goods should be produced

Back

Deciding what ought to be the priority of the government

Front

Primary sector production is concerned with

Back

The extraction of natural resources

Front

Which of the following is not a fundamental economic question?

• For whom production should take place?
• What production should take place?
• Why production should take place?
• How production should take place?

Back

Why production should take place?

Front

Microeconomics is concerned with...

Back

How prices are determined in individual markets

Front

The gap between limited resources and unlimited wants is known as ______________.

Back

Scarcity

Front

All of the following are examples of macro-economic principles except: National Income, Inflation, Unemployment, Price

Back

Price

Front

The study of the economy with a large scope. Looking at regional, national and global units.

Back

Macro-Economics