Name: ________________________________________________________________ Date: __________

I. Identification

1. It deals with the economic behavior of the whole economy or its aggregates.
2. Refers to the process of producing or creating goods needed by the households to satisfy their
needs.
3. It pertains to the activities of the government regarding taxation, borrowings and expenditures.
4. It refers to a person that buys or uses goods or services.
5. It is the application of statistical and mathematical theories to economics for the purpose of
testing hypotheses and forecasting future trends.
6. It refers to the tension between our limited resources and our unlimited wants and needs.
7. It is the study of observing how theories work into practice.
8. It refers to the proper utilization of economic goods.
9. Income derived from capital is called ___.
10. What is the international medium? ____.

II. True or False

1. Macroeconomics discusses the following: Price of rice, expenditures of PLDT, number of

workers in a certain firm
2. Land is considered an economic resource because it has a price attached to it.
3. Economics is derived from the Latin word “oikanomia”.
4. Scarcity of resources means excess resources.
5. One of the economic activities of an individual is buying goods and services.

III. Enumeration

 Name the five Divisions of Economics

 Name the five Economic Resources

IV. Discuss the following

1. What is the importance of applied economic application based on the following situation?
 Applied economics acts as a mechanism to determine what steps can reasonably be taken to
improve current economic situation.
 Applied economics can teach valuable lessons on how to avoid the recurrence of a negative
situation or at least minimize the impact.