1. Problem Solving Tests: a) Multiple Choice: Which of the following is an example of an external cost in economics? a) A decrease in consumer spending b) A decrease in government spending c) An increase in pollution levels d) An increase in employment rates

b) Fill in the Blank: The concept of scarcity in economics refers to the idea that resources are ___. Answer: limited

c) Calculation: Calculate the price elasticity of demand for a product when the quantity demanded decreases from 100 units to 80 units, and the price increases from $10 to $12. Answer: -0.5

d) Short Answer: Explain the concept of opportunity cost in economics. Answer: Opportunity cost refers to the value of the next best alternative that is forgone when making a decision.

1. Case Studies: a) Analytical: Read the given case study about a company facing a pricing dilemma and answer the following questions: - Identify and explain two factors that could influence the company’s pricing decision. - Suggest a pricing strategy that the company could adopt and justify your choice.

b) Decision-Making: Read the given case study about a country’s economic crisis and answer the following questions: - Identify and explain two possible causes of the economic crisis. - Propose two policy measures that the government could implement to address the crisis.

c) Comparative Analysis: Read the given case study about two competing companies and answer the following questions: - Compare and contrast the market structures in which the two companies operate. - Analyze the advantages and disadvantages of each market structure for the companies.

d) Problem-Solving: Read the given case study about a company’s production inefficiencies and answer the following questions: - Identify and explain two possible causes of the production inefficiencies. - Suggest two strategies that the company could implement to improve its production efficiency.

1. Group Projects: a) Research and Presentation: In a group, research and present on the impact of globalization on a specific industry. Include information on the benefits and challenges faced by companies in that industry due to globalization.

b) Policy Proposal: In a group, develop a policy proposal to address income inequality in a specific country. Present your proposal, including the rationale behind it and the potential impact it could have on the economy.

c) Data Analysis: In a group, analyze a set of economic data related to unemployment rates in different regions. Present your findings, including any trends or patterns observed, and propose possible explanations for the variations in unemployment rates.

d) Simulation Exercise: In a group, simulate a market scenario where supply and demand conditions change. Each group member should take on a role (e.g., buyer, seller, government regulator) and make decisions based on the changing market conditions. Analyze the outcomes and discuss the implications for the market participants.