micro 5 set 0.0 / 5 ? EconomicsMarket failureASOCR Created by: inayahCreated on: 15-04-14 16:07 merit good these have more private benefits than their consumers actually realise 1 of 12 microeconomics the study of households and firms make decisions in markets 2 of 12 movement along the demand curve this is in response to to a change in the price of a product 3 of 12 negative externality this exists where the social costs of an activity is greater than the private costs 4 of 12 non-excludability situation existing where individual consumers cannot be excluded from consumption 5 of 12 non-rivalry situation existing where consumption by one person does not affect the consumption of all other 6 of 12 notional demand the desire for a product 7 of 12 opportunity cost the cost of the best alternative , which is forgone when a choice is made 8 of 12 polluter pays principle any measure,such as a green tax , whereby the polluter pays explicitly for the pollution caused 9 of 12 positive externality this exists where the social benefit exceeds the private benefit 10 of 12 Mixed economy an economic system where resources are allocated through admixture of the market and direct public sector involvement 11 of 12 Normal goods goods for which an increase in income leads to an increase in demand for product 12 of 12
Analyse how the macroeconomic problems outlined above would be approached by Keynesian economists 0.0 / 5
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