This document provides an introduction to economics by defining key economic terms and concepts in short entries. It defines economics as the social science that studies the production, distribution, and consumption of goods and services. It then proceeds to define related terms such as value, market, consumption, distribution, exchange, microeconomics, macroeconomics, public finance, and production.

1. INTRODUCTION TO
ECONOMICS

2. • The social science studying the
production, distribution and consumption of
goods and services.
ANS: ECONOMICS

3. • The worth of goods and services as
determined by markets
ANS: VALUE

4. • The place where buyers and sellers go to buy
and sell
ANS: MARKET

5. • The branch of economics that is concerned
with spending by households and firms on
goods and services
ANS: CONSUMPTION

6. • Examines the allocation of the national
income among various inputs, or factors of
production.
ANS: DISTRIBUTION

7. • Refers to the buying and selling of goods and
services, either through barter or the
medium of money
ANS: EXCHANGE

8. • Studies the interactions of individual
consumers and companies.
ANS: MICROECONOMICS

9. • Studies such phenomena as
inflation, unemployment and gross domestic
product (GDP).
ANS: MACROECONOMICS

10. • The division of economics that studies
taxation and expenditure by governments
and the economic effects.
ANS: PUBLIC FINANCE

11. • Involves combining inputs or factors, such as
land, labor and capital, to produce goods and
services.
ANS: PRODUCTION