Which of the Following Is the Best Definition of Economics

question 42

Multiple Choice

Which of the following is the best definition of economics?

• A) An investigation of the quantities and prices of the various goods produced by the nations of the world.
• B) A study of why inflation and unemployment periodically plague the U.S. economy.
• C) An analysis of how individuals and societies deal with the problem of scarcity.
• D) An examination of the role that money plays in the economy.
• E) A study of how goods and services are distributed throughout the world.

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Definitions:

Indirectly

In a manner that is not directly done or expressed; involving an intermediary or being achieved through a secondary effect or means.

Debt Securities

Financial instruments that represent a loan made by an investor to a borrower, typically consisting of corporate bonds, government bonds, and other types of loans.

Financial Institutions

Intermediary between savers and borrowers, collecting funds from savers and then lending the funds to individuals, businesses, and governments.

Certificate of Deposit

A financial product offered by banks that provides an interest rate premium in exchange for the customer agreeing to leave a lump-sum deposit untouched for a predetermined period.