INTRODUCTION TO

ECONOMICS

EXERCISES 1.
BY
SOLOMON KUNLE OMOGBEMI
 INTRODUCTION TO MICROECONOMICS
1. INTRODUCTION TO MICROECONOMICS

2. PROBLEMS OF AN ECONOMY

3. CONSUMER BEHAVIOUR

4. DEMAND AND LAW OF DEMAND

5. ELASTICITY OF DEMAND

6. THEORY OF PRODUCTION

7. SUPPLY AND ITS DETERMINANTS

8. CONCEPTS OF COST

9. CONCEPTS OF REVENUE

10. FORMS OF MARKET AND PRICE DETERMINATION

11. FACTOR PRICE DETERMINATION

12. FACTOR PRICES, COMPARATIVE ADVANTAGE AND INTERNATIONAL TRADE

 INTRODUCTION TO MACROECONOMICS
1. INTRODUCTION TO MACROECONOMICS

2. NATIONAL INCOME AND RELATED AGGREGATES

3. MEASUREMENT OF NATIONAL INCOME—VALUE ADDED METHOD

4. MEASUREMENT OF NATIONAL INCOME—INCOME METHOD

5. MEASUREMENT OF NATIONAL INCOME—EXPENDITURE METHOD

6. AGGREGATE DEMAND AND AGGREGATE SUPPLY

7. DETERMINATION OF INCOME AND EMPLOYMENT

8. CONSUMPTION FUNCTION

9. CONCEPT OF MULTIPLIER

10. EXCESS AND DEFICIENT DEMAND

11. MONEY—MEANING AND FUNCTIONS

12. BANKING

13. GOVERNMENT BUDGET—MEANING AND COMPONENTS

14. FOREIGN EXCHANGE RATE—MEANING AND DETERMINATION

15. BALANCE OF PAYMENTS ACCOUNT—MEANING AND COMPONENTS

WHAT IS ECONOMICS ALL ABOUT?
DEFINITION OF
WEALTH
DEFINITION OF
WELFARE
DEFINITION OF SCARCITY
 FOCUS OF
ECONOMICS
 QUESTIONS FOR REVIEW

 1. Define economics as given by L. Robbins.

 2. Who is regarded as the father of economics?

 3. Who coined the terms—micro and macroeconomics?

 4. Name the book written by Adam Smith.

 5. Economics is a science of choice’—explain.

 6. “Economics is a science which studies human behaviour as a relationship between ends and scarce means which have
alternative uses.” Explain.
 7. Give the meaning of the term opportunity cost.

 8. How is the study of microeconomics significant?

 9. What is the scope of microeconomics?

 10. What do you mean by marginal rate of transformation?

DEFINITION OF
ECONOMICS
POSITIVE AND
NORMATIVE
ECONOMICS
 QUESTIONS FOR REVIEW

 11. What is the basic problem of an economy?

 12. What do you mean by the terms ‘ends’ and ‘means?

 13. Define want.

 14. What is the meaning of economizing of resources?

 15. Why is there a need for economizing resources?

 16. What do you understand by Microeconomics?

 17. What specific problem of an economy is studied in welfare economics?

 18. Give the definition of a scarce resource.

 19. What is meant by scarcity in economics?

 20. Define an economy.

 QUESTIONS FOR REVIEW
 21. State Marshall’s definition of Economics.

 22. “Economics enquires into the nature and causes of wealth of nations”. Who gave this definition of economics? What
does it imply?
 23. What is economics about?

 24. Explain how scarcity and choice go together.

 25. “Economics is about making choices in the presence of scarcity.” Explain.)

 26. What are the main features of Marshall’s Definition of economics?

 27. “Scarce means have alternative uses.”—Explain.

 28. Name the Economist who coined the terms micro and macro.

 29. Write five importance of microeconomics.

 30. Mention three shortcomings of microeconomic theory.

 31. What do you understand by positive and normative economics?

 32. Is economics a positive science

REFERENCE

 Introductory Economics (Micro and Macro)

https://scholar.cu.edu.eg/?q=mmyoussif/files/subhendu_dutta_introductory_economics_micro_andbookfi.org_.pdf