Economic Literacy

To be considered scarce, a resource or good must be both ______________ and _______________.

• unlimited and undesirable

• unlimited and desirable

• limited and desirable

• limited and undesirable

Studies firms, markets, products, and consumer and producer behavior.

• economics

• microeconomics

• macroeconomics

Studies GDP, inflation, unemployment, growth, and national economic policy.

• economics

• microeconomics

• macroeconomics

Unlimited wants and limited resources.

• marginal analysis

• scarcity

• opportunity cost

• economics

Studies the choices people make when they use scarce resources to improve their situations.

• economics

• microeconomics

• macroeconomics

The next best alternative that you give up when you make a choice or decision.

• marginal analysis

• economics

• scarcity

• opportunity cost

Comparing the costs and benefits of an additional unit of consumption or production.

• marginal analysis

• opportunity cost

• scarcity

• economics