Check my Economic homework please?

Posted on 2015-01-22 06:48:00 in Economics by MIKE

1. Opportunity Cost - What must be given up to gain one more of another good or service.

2. Budget constraint - the limited amount of money available to buy what you want.

3. Productive efficiency - Using the right tool for the job it was designed to do or trained to perform.

4. Invisible hand - Self-interest helps people provide goods that are in demand by society.

5. Normative statement - Statements that make a value judgment.

6. Allocative efficiency - When production of goods and services meets society's wants and needs.

7. Law of diminishing returns - Explains why marginal cost eventually increases as output expands.

8. Positive statement - Statements that can be measured.

9. Law of diminishing marginal utility - the satisfaction received from the consumption of a good will decline with each additional unit consumed.

10. Production Possibilities Frontier - A graph showing possible combinations of two goods or types of goods available with limited resources and full employment of resources.

---

Answer Comment

No Answers Posted Yet.