Question

Suppose a total of​ 2,500 students are allowed in the engineering programs at all of the colleges in a particular city. From the previous three​ years' record, it shows that the number of students who enroll in the entrance exam for the engineering program increases if there is an increase in the number of IT recruiters the previous year.This year there is a total of​ 3,200 students who have enrolled to take the entrance exam of which only up to​ 2,500 of those who passed would get in. Based on either the​ students' perspective or the college​ perspective, what combination of economic key concepts does the situation​ follow? A. Optimization and empiricism B. Equilibrium and empiricism C. Optimization and equilibrium D. ​Optimization, equilibrium, and empiricism

Answer 1

Answer:

D. Optimization, Equilibrium and Empiricism.

Explanation:

Economics is based on three key concepts which are Optimization, Equilibrium and Empiricism. Optimize is the first principle which means people will select best available option. Second important principle is that economy is always in a state of equilibrium which means if one gains the other also gets best available value. Third concept is that economists use data to make policies. The situation given in the scenario follows all the key concepts of economy.