What are the 2 basic issues in microeconomics?
In economics, scarcity and unlimited wants are the fundamental issues. In other words, scarcity is defined as a limited amount of resources, i.e. A finite fossil fuel is one that is finite. The scarcity of resources means that you cannot consume another good if you use them to consume one.
What are some macroeconomic issues?
6 Major Macro-Economic Issues
- Issue # 1. Employment and Unemployment:
- Issue # 2. Inflation:
- Issue # 3. The Trade Cycle:
- Issue # 4. Stagflation:
- Issue # 5. Economic Growth:
- Issue # 6. The Exchange Rate and the Balance of Payments:
What are the major concerns of microeconomics?
Much economic analysis is microeconomic in nature. It concerns such issues as the effects of minimum wages, taxes, price supports, or monopoly on individual markets and is filled with concepts that are recognizable in the real world.
What are some microeconomic topics?
Common topics are supply and demand, elasticity, opportunity cost, market equilibrium, forms of competition, and profit maximization. Microeconomics should not be confused with macroeconomics, which is the study of economy-wide things such as growth, inflation, and unemployment.
What is PPC in microeconomics?
Definition. production possibilities curve (PPC) (also called a production possibilities frontier) a graphical model that represents all of the different combinations of two goods that can be produced; the PPC captures scarcity of resources and opportunity costs. opportunity cost.
What is an example of a microeconomic issue?
Micro economic problems. One of the most frequent problems is that economic decisions can have external effects on other people not involved in the transaction. For example, if you produce power from coal, the pollution affects people all over the world (acid rain, global warming).
What are the major issues and concerns of macroeconomics?
Major Macroeconomic Issues
- Economic Growth.
- Business Cycles.
- Inflation.
- Unemployment.
- Government Budget Deficits.
- Interest Rates.
- Balance of Payments.
What is a good microeconomics topic?
Microeconomics covers a wide variety of topics, for example, supply and demand, opportunity cost, elasticity, market structures, the theory of production, entrepreneurship, labor market, pricing etc. Impact of marital status on the labor force composition. Concept of market equilibrium.