{
  "deck_name": "Microeconomics Foundations",
  "cards": [
    { "question": "What does scarcity mean in economics?", "answer": "Resources are limited relative to the wants and uses people could choose among." },
    { "question": "What is opportunity cost?", "answer": "The value of the next-best alternative forgone when a choice is made." },
    { "question": "What does the law of demand say, all else equal?", "answer": "When a good's price rises, the quantity demanded generally falls; when price falls, quantity demanded generally rises." },
    { "question": "What does the law of supply say, all else equal?", "answer": "A higher price generally leads producers to offer a greater quantity for sale." },
    { "question": "What is the difference between a change in demand and a change in quantity demanded?", "answer": "A demand change shifts the whole curve; a quantity-demanded change is movement along it caused by the good's own price." },
    { "question": "What is the difference between a change in supply and a change in quantity supplied?", "answer": "A supply change shifts the whole curve; a quantity-supplied change is movement along it caused by the good's own price." },
    { "question": "What is market equilibrium in a basic supply-and-demand model?", "answer": "The price and quantity where quantity demanded equals quantity supplied." },
    { "question": "What is a shortage at a given price?", "answer": "Quantity demanded exceeds quantity supplied at that price." },
    { "question": "What is a surplus at a given price?", "answer": "Quantity supplied exceeds quantity demanded at that price." },
    { "question": "What is a substitute good?", "answer": "A good that can be used in place of another; a rise in its price can increase demand for the other good." },
    { "question": "What is a complement good?", "answer": "A good often used with another; a rise in its price can reduce demand for the other good." },
    { "question": "How is price elasticity of demand calculated?", "answer": "Percentage change in quantity demanded ÷ percentage change in price; it is commonly interpreted using its absolute value." },
    { "question": "When is demand called elastic using the absolute-value convention?", "answer": "When the absolute value of price elasticity of demand is greater than 1." },
    { "question": "When is demand called inelastic using the absolute-value convention?", "answer": "When the absolute value of price elasticity of demand is less than 1." },
    { "question": "What does unit elastic demand mean?", "answer": "The absolute value of price elasticity of demand equals 1: quantity changes by the same percentage as price." },
    { "question": "How does a binding price ceiling affect a market in the standard model?", "answer": "If set below equilibrium, it tends to create a shortage because quantity demanded exceeds quantity supplied." },
    { "question": "How does a binding price floor affect a market in the standard model?", "answer": "If set above equilibrium, it tends to create a surplus because quantity supplied exceeds quantity demanded." },
    { "question": "Which side tends to bear more of a tax when its supply or demand is less elastic?", "answer": "The less elastic side tends to bear more of the tax burden because it changes behavior less when price changes." },
    { "question": "What does a production possibilities frontier illustrate?", "answer": "Feasible combinations of output given resources and technology, along with trade-offs and opportunity costs." },
    { "question": "What is diminishing marginal utility?", "answer": "The additional satisfaction from consuming another unit tends to decrease as more units are consumed, other things equal." }
  ]
}