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ECN 211 Midterm #1 Exam 2025 Questions and Answers a situation in which a market left on its own fails to allocate resources efficiently ....ANSWER ...-market failure the study of how society manages its scarce resources - ....ANSWER something that induces a person to act - ....ANSWER ...-economics ...-incentive the quantity of goods and services produce from each unit of labor input ....ANSWER ...-productivity whatever must be given up to obtain some item - ....ANSWER ...-opportunity cost the impact of one person's actions on the well-being of a bystander ....ANSWER ...-externality those who systematically and purposefully do the best they can to achieve their objectives - ....ANSWER ...-Rational People the limited nature of society's resources - ....ANSWER ...-Scarcity an economy that allocates resources through the decentralized decisions of many firms and households as they interact in markets for goods and services ....ANSWER ...-market economy …FOR STUDENTS ONLY…©️2025 ALL RIGHTS RESERVED… 1