Reference no: EM132875872
1. Briefly explain five characteristics of a free market system
2. Outline six disadvantages of free market economy systems
3. Identify four factors that could lead to market failure in an economy
4. Briefly explain the challenges encountered by planned economic system in their transition to market oriented economies
5. Discuss the key features in a mixed economic system
6. Write short notes on the following fundamental concepts:
a). scarcity and choice
b) opportunity cost
c). production possibility frontier
d). positive and normative economics
7. Using specific examples, explain 'ceteris paribus' as used in economics
8. Why is the consumer said to be sovereign?
9. What factors limit this sovereignty
10. Explain the difference between "inelastic demand" and "unitary elasticity of demand"
11. State three reasons why the demand curve slopes downwards
12. Explain five factors that demand the price elasticity of supply of a commodity
13. Enumerate six factors that could lead to a rightward shift of the supply curve
14. Explain the term "price control " as used in economy
15. Highlight eight reasons for price control in an economy
16. A)explain the term elasticity of supply
b) summarize three applications of elasticity of supply in an economic decision making
17. Differentiate between partial equilibrium analysis and general equilibrium analysis as used in economics
18. Differentiate between giffen good and 'inferior good'
19. With reference to demand and supply analysis identify six effects of fixing the maximum price of a commodity below the equilibrium price
20. Outline six assumptions underlying the derivation of the demand curve