What is the primary goal of a circular economy?
The primary goal of a circular economy is to minimize waste by reusing goods and services in biological or technical cycles. This reduces the need to acquire new products, promoting sustainability.
What does behavioral economics study that traditional economic models often overlook?
Behavioral economics examines the role of psychological and social factors on economic decisions, unlike traditional models which may not account for these influences.
Who was a primary advocate of monetarist ideas and opposed many Keynesian policies?
Milton Friedman
What was John Maynard Keynes' main assertion in his economic framework?
Keynes advocated for governmental intervention and stabilization policies, especially during market failure, to restore full employment.
Which economist highlighted the conflict between labour and capital and predicted the collapse of the modern economic system?
Karl Marx
What does Say's Law state in economics?
Say's Law, formulated by Jean-Baptiste Say, posits that the production of goods and services creates an aggregate demand sufficient to purchase them, effectively stating 'supply creates its own demand'.
Differentiate between total utility and marginal utility.
Total utility measures the total satisfaction from consuming a product, whereas marginal utility is the satisfaction gained from an additional unit.
Who introduced the framework of demand and supply using price-quantity diagrams?
Alfred Marshall
What was the primary focus of 19th-century classical economists?
19th-century classical economists mainly focused on production, the supply of goods, determining wages, and analyzing profits in the economy.
What is Adam Smith's famous metaphor that symbolizes the market's self-regulating nature?
The "invisible hand".