MCS 1000 Chapter Notes - Chapter 1-2: Marginal Utility, Marginal Cost, Information Revolution

• School: University of Guelph
• Department: Marketing and Consumer Studies
• Course: MCS 1000
• Professor: Sergio Meza

Document Summary

Scarcity inability to get everything we want (universal) Incentive is a reward that encourages an action or a penalty that discourages one. Economics is the social science that studies the choices that individuals, businesses, governments, and entire societies make as they cope with scarcity and the incentives that influence and reconcile those choices. Microeconomics is the study of the choices that individuals and business make, the way these choices interact in markets, and the influence of governments. Macroeconomics is the study of the performance of the national economy and the global economy. Can the bank of canada make the unemployment rate fall by keeping interest rates low. Goods and services are the objects that people value and produce to satisfy wants. Goods are physical objects such as cell phones and automobiles. Services are tasks performed for people such as cell phone repair. What we produce varies across countries and changes over time.