IBECO - Nature of Economics: Thinking Like An Economist

The form of economics in which the world is looked at through a microscope, examining the behaviour of individual decision-making units win an economy

• Microeconomics

• Macroeconomics

• Neo-classical economics

• Global economics

The form of economics in which the world is looked at through a telescope, examining the economy as a while to obtain a broad or overall picture of an economy

• Microeconomics

• Macroeconomics

• Neo-classical economics

• Global economics

Match the definition to the correct concept - A multidimensional concept relating to the level of prosperity and quality of living standards in a country. It include financial security, ability to meet basic needs, ability to make choices to achieve personal satisfaction and ability to maintain adequate income levels over the long term

• Economic well-being

• Intervention

• Scarcity

• Efficiency

Match the definition to the correct concept - involvement of the government in the market economy as they sometimes fail to achieve certain societal goals, such as equity, economic well-being, or sustainability.

• Economic well-being

• Intervention

• Scarcity

• Efficiency

Match the definition to the correct concept - the limited availability of economic resources relative to society’s unlimited demand for goods and services.

• Economic well-being

• Intervention

• Scarcity

• Efficiency

Match the definition to the correct concept - making the best use of scarce resources and can be quantified by determining the ratio of useful output to total input.

• Economic well-being

• Intervention

• Scarcity

• Efficiency

Match the definition to the correct concept - arises due to scarcity of resources and problems of attempting to satisfy all needs and wants.

• Choices

• Interdependence

• Change

• Equity

Match the definition to the correct concept - focuses on how economic agents including individuals, communities and nations are not self-sufficient, and thus they have to interact with each other within and, increasingly, across nations in order to achieve economic goals.

• Choices

• Interdependence

• Change

• Equity

Match the definition to the correct concept - recognises how the world of economics is in a constant state of flux. As such economics theory investigates the levels of variables and how they shift from one situation to another and empirically identifies how the world that is studied by economists is always subject to continuous and profound shifts at institutional, structural, technological, economic and social levels.

• Choices

• Interdependence

• Change

• Equity

Match the definition to the correct concept - the concept or idea of fairness, in contrast to equality which means the same for different people or different social groups. Fairness is a normative concept, as it means different things to different people.

• Choices

• Interdependence

• Change

• Equity