Principals of microeconomics

*No plagiarism No copy and paste. All original work. Cover and Reference page not needed.*  <5 page word doc.> <*include references>

ECO2071 - Discussion

Please stay on topic and answer all questions!!!

Your supervisor has been asked many questions about how the economy works and why the idea of limited resources is such a major concern in today’s economy. As a result, she has asked you to prepare a report on the topics.

Specifically, your supervisor has asked you to prepare the following:

· A circular flow diagram that includes the government sector. For this part of your report, you should include a description of the roles that each participant plays in the economy and how the different sectors interact in the markets.

· An illustration of the Production Possibilities model, including a summary of what the model is illustrating and the economic implications for the economy.

· An explanation of why or why not trade with other countries is beneficial to an economy and how international trade fits into the circular flow diagram.

· An explanation of the difference between micro and macroeconomics, indicating why the division is necessary.

Deliverables:

· Prepare a 5-page Microsoft Word document that addresses the above tasks and meets APA standards.

· Include a summary section in your report that contains 5-7 bullet points identifying your major findings or conclusions of your paper.