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Unformatted text preview: production technology An outcome is said to be efficient if the economy is getting all it can from the scarce resources it has available Microeconomics : the study of how housholds and firms make decisions and how they interact in markets Macroeconomics : the study of economy-wide phenomena, including inflation, unemployment, and economic growth Positive statements: claims that attempt to describe the world as is Normative statements : claims that attempt to prescribe how the world should be...
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- Fall '06
- Economics, production Hire, Markets Markets Households, services Households Firms