Exam questions: 1. Speak about economic scarcity, production factors and opportunity costs. Give examples. 2. Speak about basic economic agents of market economy and describe the market mechanism. Use market mechanism model. 3. Speak about command and market model of economy. 4. Speak about demand, demand curve, law of demand. Give examples of how demand factors influence movement of demand curve using graphs. 5. Speak about price elasticity of demand and types of demand price elasticity. Give examples of specific goods. Speak about price strategies. 6. Speak about supply, supply curve, law of supply. Give examples of how supply factors influence movement of supply curve using graphs. 7. Speak about market equilibrium, surplus and deficit states, supply and demand change. Give examples using graphs. 8. Speak about production function, isocost, isoquant and optimal production point. Give graphical examples. 9. Speak about costs in the short run: fixed, variable and total costs and their curves. Give examples of every type of costs. Speak about costs in the long run. 10. Speak about ideal market model: what are the traits of perfect competition? Show the demand curve for the perfectly competitive firm, explain its position. 11. Speak about imperfect competition. What are the traits of imperfect competition? What types of imperfect competition do you know? Give examples. 12. Speak about aggregate demand. Which factors influence aggregate demand? Explain what does aggregate demand curve show us? 13. Speak about aggregate supply. Which factors influence aggregate supply? Explain what does aggregate supply curve show us? Speak about how different schools explained position of this curve. 14. What is Gross Domestic Product? What are the three approaches to its calculation? What is Gross National Product? 15. What is nominal and what is real is Gross Domestic Product? Explain the difference. How can we calculate real GDP? 16. What is fiscal policy? Speak about tools of fiscal policy: discretionary fiscal policy and automatic stabilizers. Give examples and explain mechanisms. 17. What is monetary policy? Speak about such tools of monetary policy as discount rate and required reserves. Explain their mechanisms.