Tema International School
Grade 10 Economics
Daniel Kwesi Osei
The branch of economics that analyzes the market behavior of individual consumers and firms in attempt to understand the decision-making process of firms and households. Microeconomics focuses more on basic theories of supply and demand and how individual firms decide how much of something to produce and how much to charge for it.
List the microeconomic objectives common to most economies?
Mention two country specific macroeconomic objectives?
Macroeconomic objectives for the United Kingdom
* High employment - the government wants to achieve full-employment – a situation where all those able and available to find work have the opportunity to work. At the time of writing, the key aim is to limit the effects of the recession on the level of unemployment.
* Rising living standards and a fall in relative poverty – for example the objective of cutting child poverty and reducing pensioner poverty.
Explain the following.
In economics, aggregate supply is the total supply of goods and services that firms in a national economy plan on selling during a specific time period. It is the total amount of goods and services that firms are willing to sell at a given price level in an economy
The total amount of goods and services demanded in the economy at a given overall price level and in a given time period. It is represented by the aggregate-demand curve, which describes the relationship between price levels and the quantity of output that firms are willing to provide. Normally there is a negative relationship between aggregate demand and the price level. Also known as "total spending.