PRAXIS 5001- ECONOMICS Praxis - Elementary Education: Multiple Subjects (5001) Praxis 5001 (Reading) (186 Questions and answers with diagrams ) 2025-2026

Opportunity Cost

What else could have been done with the resources used to exercise the oppurtunity-only the next best one

What does Mercantilism say?

The more gold a nation has, the better and stronger its economy and global power.

Oligopoly

A market where only few sellers are present

Monopoly

A market where one firm controls the price, production, and supply of a good.

What is the law of demand?

As the price of a good increases, the less quantity will be demanded for the good.

What is the law of supply?

AS the price of a good increases, the more quantity will be supplied of the good.

When is a market considered in equilibrium?

When the quantity supplied is equal to the quantity demanded

When is the market considered in disequilibrium?

If the supplied/demanded exceeds another

Surplus

When the quantity supplied s greater than the quantity demanded

Deficit

When the quantity demanded exceeded the quantity supplied

Trade Cap

A limit to the amount of a good that can be imported or exported

Subsidies

Government payments to an industry to reduce costs or create false demand

Tariffs

A tax on imports or exports

GDP

Gross Domestic Product