Economics Is the Study of

question 132

Multiple Choice

Economics is the study of

• A) production methods.
• B) how society manages its scarce resources.
• C) how households decide who performs which tasks.
• D) the interaction of business and government.

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Definitions:

Goods and Services

The outputs produced by the economy, where goods are tangible objects and services are intangible offerings that satisfy consumer needs or wants.

Real GDP

The measure of a country's economic output adjusted for price changes (inflation or deflation), reflecting the true value of goods and services produced over a specific period.

GDP

Gross Domestic Product, the total monetary value of all goods and services produced within a country's borders in a specific time period, used as a broad measure of economic activity.

Per Capita GDP

The gross domestic product of a country divided by its population, giving an average economic output per person.