Economic Activities Quiz

3-4 lines of student-written, original text, explaining each line of quoted content. Quoted, summarized, or paraphrased material, derived from a source must always be cited/referenced. 1.Explain Parson’s perspective, and argument about order in human societies, in the Parsonian solution to the ‘problem of order’ in human societies. 2.Explain why small businesses tend to foster innovation more effectively than large ones. 3.Explain how the concept of opportunity cost is different than the purchase price of an item. 4.Describe how the production possibilities models takes the factors of production and the technology that an economy has available into consideration, when looking at the amount of goods and services it can produce. 5.What are the main drivers of shortages common in many industries (e.g., health care, agriculture, and consumer goods)? 6.Discuss the difference between intermediate and final goods and services. 7.What is demand? Identify the most important variable that has a direct impact on the quantity consumers are willing to buy, and describe what the result will be as this variable rises and falls. 8.Explain the concept of market equilibrium. Describe an alternate set of conditions in which an equivalent condition of equilibrium can occur. 9.What argument does the expression “race to the bottom” make about the way less developed countries compete in the global economy? 10.What are the four stages of industrial upgrading? 11.Briefly define outsourcing. 12.What impact has globalization had on the world’s economies? 13.Distinguish between the concepts of total utility and marginal utility. 14.Explain the difference between the US and China as it relates to advocacy groups. 15.Discuss the effect the size of the country can have, in the closed-economy model.