# 經濟學期中考-名詞解釋
### CH1
***Scarcity***
The limited nature of society’s resources

***Economics***
Study of how society manages its scarce resources

***Efficiency***
Society getting the most it can from its scarce resources

***Equality***
Distributing economic prosperity uniformly among the members of society

***Opportunity cost***
Whatever must be given up to obtain one item

***Marginal (邊際) changes***
Small incremental adjustments to a plan of action

***Market failure(市場失靈)***
Situation in which the market on its own fails to produce an efficient allocation of resources

***Productivity***
---Quantity of goods and services produced from each unit of labor input
---Higher productivity
...Higher standard of living
---Growth rate of nation’s productivity
Determines growth rate of its ...average income

### CH2
***Microeconomics(個體經濟)***
The study of how households and firms make decisions
...And how they interact in markets

***Macroeconomics(總體經濟)***
The study of economy-wide phenomena, including inflation, unemployment, and economic growth

***Production possibilities frontier***
---A graph
---Combinations of output that the economy can possibly produce
---Given the available
...Factors of production
...Production technology

***Positive statements***
---Attempt to describe the world as it is
---Descriptive
---Confirm or refute by examining evidence

***Normative statements***
---Attempt to prescribe how the world should be
---Prescriptive

### CH3

***Absolute advantage(絕對利益)***
Produce a good using fewer inputs than another producer

***Comparative advantage(比較利益)***
Produce a good at a lower opportunity cost than another producer

***Principle of comparative advantage***
Each good - produced by the individual that has the smaller opportunity cost of producing that good

### CH4

***Perfectly competitive market(完全競爭市場)***
---Goods offered for sale are all exactly the same
---Buyers and sellers are so numerous
...No single buyer or seller has any influence over the market price
...Sellers are Price takers from the market

---At the market price
...Buyers can buy all they want
...Sellers can sell all they want

***Monopoly(獨佔)***
---The only seller in the market
---Sets the price

***Law of demand(需求法則)***
---Other things equal
---When the price of a good rises, the quantity demanded (需求量)of the good falls
---When the price falls, the quantity demanded rises

***Demand***
---Relationship between the price of a good and quantity demanded
---Demand schedule: a table
---Demand curve: a graph
...Price on the vertical axis
...Quantity on the horizontal axis

***Normal good***
An increase in income leads to an increase in demand

***Inferior good***
An increase in income leads to a decrease in demand

***Substitutes***

***Complements***

***Law of supply***
---Other things equal
---When the price of a good rises, the quantity supplied (供給量) of the good also rises
---When the price falls, the quantity supplied falls as well

***Supply***
---Relationship between the price of a good and the quantity supplied
---Supply schedule: a table
---Supply curve: a graph
...Price on the vertical axis
...Quantity on the horizontal axis

***Market equilibrium***

***Surplus(剩餘)***
---Quantity supplied > quantity demanded
---Excess supply
---Downward pressure on price
...Movements along the demand and supply curves
...Increase in quantity demanded
...Decrease in quantity supplied

***Shortage(短缺)***
---Quantity demanded > quantity supplied
---Excess demand
---Upward pressure on price
...Movements along the demand and supply curves
...Decrease in quantity demanded
...Increase in quantity supplied