GK
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The price of goods
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The price of services
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The price of economy resources
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All of the above
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Detailed explanation-1: -Microeconomic theories through a free-enterprise economy determine how the price of economic resources. In production theory, the quantity and the quality of raw materials used in a business production process are determined.
Detailed explanation-2: -Free enterprise, or the free market, refers to an economy where the market determines prices, products, and services rather than the government. Businesses and services are free of government control.
Detailed explanation-3: -Microeconomics is based on models of consumers or firms (which economists call agents) that make decisions about what to buy, sell, or produce-with the assumption that those decisions result in perfect market clearing (demand equals supply) and other ideal conditions.
Detailed explanation-4: -The 4 economic theories are supply side economics, new classical economics, monetarism and Keynesian economics.
Detailed explanation-5: -Elasticity of demand. Marginal utility and demand. Elasticity of supply.