ECON 1000 Midterm: ECON 1000 Kennesaw State ECON1000 Fall2017 Exam2A
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As discussed in lecture, society can achieve economic growth by realizing an improvement in technology. making deliberate investments in human capital and physical capital. replacing market based economic institutions with mechanisms of command planning. Gross domestic product can be expressed by the following formula: __________. Y = c i g nx. Y = c + i + g + nx. Y = (c + i) (g + nx) _______________ refers to the logical error whereby someone incorrectly concludes that simply because there are benefits (to some people) from higher levels of an activity, that more of the activity is always better. The _________________ function of government can be described as attempts by government to minimize fluctuations in overall macroeconomic activity. Consider a market in which the maximum possible value of total social surplus is ,500,000. If the realized level of total social surplus is ,200,000, then deadweight loss in this market is equal to ____________.
