Exercise 9. What economic terms given in the text do the following definitions refer to?

a. The branch of economics that deals with large-scale economic phenomena, particularly inflation, unemployment and economic growth.

b. Economic analysis that is concerned with “what ought to be” rather that with “what is”.

c. The study of the behavior of individual units such as consumers, firms and resource owners.

d. The area of economics that deals with facts and relationships among them.

e. The representation of the essential features of a theory expressed in the form of words, diagrams, graphs used to understand economic events.

f. The organization that brings together and coordinates factors of production for the purpose of producing goods and services.

g. The study of how people choose to use scarce productive recourses, to produce various goods and services, and to distribute them among consumers.

1. Economic laws are used to solve a number of different issues

1. that enables an individual to be a better producer, consumer and citizen.

2. The macro approach and the micro approach are two ways of looking at

2. a value judgment about whether a situation is desirable or undesirable.

3. Microeconomics looks at the behaviour of individual economic units and.

3. often used to look into cause-and-effect relationships carefully.

4. Macroeconomics concentrates on the nation’s total output of goods and services,

4. economics and the economy that economists have. normative economics is the study of "what ought to be" in economic matters.

5. A normative statement expresses

5. overall price level, level of employment, and economic growth.

6. Positive economics is the study of "what is" in economic matters, while

6. that, generally, seem unrelated to economics.

7. An economic model is a representation of a theory or a part of a theory,

7. macroeconomics, on the other hand, concentrates on the behaviour of entire economies.

8. Cultural, ethical and political values are at the heart of economics

8. examines how prices are determined in a specific market

9. Microeconomics focuses on the decisions of individual consumers and producers,

9. economics and the economy that economists have.

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