ISC Eco - basic

The study of wealth creation and allocation.

The study of human needs and wants.

The study of financial markets.

The study of government policies.

Samuelson

Adam Smith

Lionel Robbins

Alfred Marshall

Marginal utility

Diminishing returns

Total utility

Economic welfare

Individual economic units and markets.

Aggregated economic policies.

Global trade relationships.

National income as a whole.

Small businesses and resources.

Individual consumer choices.

The economy as a whole.

Market competition dynamics.

How to allocate resources evenly.

How to maximize individual utility.

Where to sell products.

What to produce, how to produce, for whom?

Market demand fluctuations.

Trade-offs in production efficiency.

Economic growth rates.

Consumer satisfaction levels.

Market prices of commodities.

Total income generated in a period.

Satisfaction derived from consumption.

Physical goods available for sale.

Price increases lead to more consumption.

Quality of goods diminishes over time.

Total utility increases indefinitely.

Satisfaction decreases with additional consumption.

Different types of money.

Accumulated assets and resources.

Total market value of products.

Public welfare funds.

Dependence on market prices.

Direct exchange of goods without money.

Use of currency for transactions.

Standardized units of value.

Reduces available resources.

Increases market demand directly.

Changes consumer preferences.

Shifts or rotates the curve outward.

Total income generated by households.

Total supply of goods and services in economy.

Individual supply choices within markets.

Market prices under perfect competition.

Facilitating exchange of goods and services.

Storing wealth exclusively.

Regulating government policies.

Determining economic growth.

Demand from consumers for goods.

Cash held by consumers.

Natural resources available for use.

Assets used for production purposes.

Total consumption of goods.

Wealth accumulation over time.

Money received for providing services or goods.

Investments made in the market.

Investment in financial assets.

Production of new goods.

Use of goods and services for satisfaction.

Total savings in a year.

Investment in new businesses.

The portion of income not spent on consumption.

All income earned by individuals.

Total debt incurred by consumers.

Global trade agreements.

High consumer confidence levels.

Markets adjusting to inflation.

Limited resources versus unlimited wants.

Stable economic conditions.

Regulation of prices by government.

Linear growth in production.

Fluctuations in economic activity over time.

Supply and demand dynamics in the market.

Factory production levels exclusively.

Government policies only.

Consumer preferences solely.

Market demand statistics.

General well-being of people in society.

Total production output.

Wealth inequality measurements.

Physical capital improvements.

Government spending only.

Individual income levels.

Accumulated financial assets and resources.

Financial market stability.

Supply chain efficiency.

Inflation measures.

Overall satisfaction of economic needs.

A student choosing a favorite snack

An individual buying a new phone for personal use

A family purchasing furniture for their home

A city funding street lighting for public safety

Wealth is a stock of resources; welfare is the well-being those resources help create, so wealth may raise welfare but doesn’t ensure it.

Higher wealth always guarantees higher welfare for everyone.

Wealth and welfare are identical terms in economics.

Welfare is measured only by total output (GDP), regardless of distribution or non-income factors.

Move to a point outside the PPC without any change in resources or technology

Move to a point inside the PPC automatically

Increase production of both capital goods and consumer goods with no trade-off

Give up some production of consumer goods (opportunity cost)

A change in the price of the goods in the market

Improved technology that raises productivity in producing goods and services

A temporary rise in unemployment (idle resources)

A fall in consumer demand for one of the goods

When to borrow, when to save, and when to pay taxes

How to set prices, how to advertise, and how to expand market share

What to produce, how to produce, and who receives the output

Where to locate firms, how to ship goods, and how to manage inventories