Principles of Micro-Economics

Your supervisor has been asked many questions about how the economy works and why the idea of limited resources is such a major concern in today’s economy. As a result, she has asked you to prepare a report on the topics.

Specifically, your supervisor has asked you about to prepare:

Tasks:

  • A circular flow diagram that includes the government sector. For this part of your paper, you should include a description of the roles that each participant plays in the economy and how the different sectors interact in the markets.
  • An illustration of the Production Possibilities model, including a summary of what the model is illustrating and the economic implications for the economy.
  • An explanation of why or why not trade with other countries is beneficial to an economy and how international trade fits into the circular flow diagram.
  • An explanation of the difference between micro and macro economics, indicating why the division is necessary.

Deliverables:

  • Prepare a 5 page Microsoft Word document that addresses the above tasks and meets APA standards.
  • Include a summary section in your report that contains 5-7 bullet points identifying your major findings or conclusions of your paper.

 

APA FORMAT