Download Economics- Study Guide for the Final Exam

Economics- Study Guide for the Final
Exam
Chapter 1:
1. Factors of Production: land, labor,
capital, entrepreneurship (def. And
examples of) P. 7-8
2. trade-off, opportunity cost (pg. 19-20)
3. paradox of value (pg. 13)
4. GDP (pg. 9)
5. production possibilities frontier- pg. 23
concept it illustrates, assumptions you
must make, recognize parts of the graph
itself
6. specialization, division of labor (pg. 16)
7. economic interdependence (pg. 17)
Chapter 2:
1. 3 Economic Systems: command,
market, traditional (definition,
examples, advantages/disadvantages)
pg. 38
2. Most economies today are mixed- they
have characteristics of all three models
3. Economic and Social Goals of the US
(examples of each one) pg. 41-43
Chapter 4:
1. Law of Demand (pg. 89)
2. Demand Curve, D. Schedule (pg. 90-91)
3. Non-price factors of D: P. of sub., P. of
complements, Consumer Income,
Consumer Expectations, Consumer
Tastes (recognize how these can cause
a shift in the entire D. curve (pgs. 9699)
4. elasticity of D. (inelastic, elastic, unit
elastic- examples and definitions) (pgs.
101-103)
Chapter 5:
1. All of the above but for Supply (pgs.
113-120)
2. Production Schedule (pg. 128)
3. Law of Diminishing Returns (Stage I, II,
and III) (pgs. 124-125)
4. Total cost, variable cost, fixed cost
(overhead)- examples and definition
(pgs. 127-129)
5. Profit maximizing quantity of output
(pg. 131)
Chapter 6
1. surplus, shortage- what happens to P.
when these occur? (pg. 143-144)
2. market equilibrium (143)
3. Market D. and S. schedules/curves
(143)
Chapter 8
1. Fair Labor Standards Act (196)
2. Categories of Labor (unskilled,
semiskilled, skilled, professional- pg.
205-206)
3. National Labor Relations Act (196)
4. Types of Collective Bargaining
(mediation, arbitration, fact-finding,
injunction and seizure- pgs, 202-203)
5. Wage Determination (traditional
theory, signaling theory, theory of
negotiated wages- pg. 207-208)
Chapter 13
1. GDP- What are the 4 sectors? Which is
the largest? How do you determine
GDP?
2. Census- When? Since colonial period?
(357)
3. Who are the baby boomers?
4. CPI, implicit GDP inflator
5. Table on pg. 365
6. Table on pg. 364
Chapter 14
1. Types of unemployment (pgs. 384-386)
2. income distribution ( pgs. 394-395)
3. anti-poverty programs
4. Lorenz curve (pg. 395)
5. phases of the business cycle (pg. 376)
6. Causes of the Great Depression
Chapter 15
1.
2.
3.
4.
Federal Reserve- structure of (pg. 408)
liabilities, assets (pg. 416)
role of the FOMC
Easy money policy (expands money
supply), Tight money policy (contracts
money supply)
5. Table on pg. 423