[ECON 2000] - Final Exam Guide - Ultimate 33 pages long Study Guide!
29 Nov 2016
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Macroeconomics - is the study of the economy as a whole. Economics - is the study of how individuals and society make decisions. Economy - a group of decision makers interacting with one another. Interaction determines the level of economic activities and the standard of living within an economy. We measure the level of economic activities and standard of living through: We focus on the trend how variables change over time. Economic growth (measure, factors determining growth, growth policies, compare with other countries) Graph output vs time (line through middle and squiggle line showing ups and downs diagonally) Business cycle (measuring 4 identifications, explanation, and policy) There is an inverse relationship between price and quantity purchased. Graph price vs quantity downward graph straight line (d) There is a positive relationship between price and quantity supplied. Graph price vs quantity upward straight line (s) Market clears (quantity demanded = quantity supplied)
