Quiz 1 of 0

SS1: Economics – Introduction to Economics | Theory Questions

Responses

Your email address will not be published. Required fields are marked *

Evaluation Question 1

Answers:

Alternative Uses: It refers to the choice or decision to satisfy a given want with a particular unit of resources at the expense of another want (opportunity cost)

Micro Economics: It is the study of the economic behaviour of individual decision-making units in a free enterprise e.g. business firms etc.

Macro Economics: It is the study of aggregate economy and the economic issues that affect the economy generally such as output, total employment, price level, etc.

Evaluation Question 2

Answer:

Reasons why Economics is a science:

  • It uses both deductive and inductive measures in decision-making.
  • It adopts scientific methods to explain observed phenomena
  • It uses scientific methods to predict the outcome of future events