ECON 1110 Lecture Notes - Opportunity Cost, Capital Good, Economic System

28 views3 pages
Published on 18 Apr 2013
School
Langara College
Department
Economics
Course
ECON 1110
Professor
Microeconomics 1110
Ch. 1
Economy- a system in which scarce resources are allocated among competing
uses
Economy based on free market transactions is self-organizing:
o individuals act independently to pursue self-interest
responding to prices determined in open markets
collective outcome is coordinated
Main characteristics
self-interest, incentives, market prices/quantities, institutions
Economics
is the study of the use of scarce resources to satisfy unlimited human
wants and needs
o Scarce resources include land, labour, capital (capital good is a good
that can be used to make another good), materials, energy
If resources were available in infinite quality, no need for economics because
there is no need to economize, use resources efficiently.
Unlock document

This preview shows page 1 of the document.
Unlock all 3 pages and 3 million more documents.

Already have an account? Log in

Get OneClass Grade+

Unlimited access to all notes and study guides.

YearlyMost Popular
75% OFF
$9.98/m
Monthly
$39.98/m
Single doc
$39.98

or

You will be charged $119.76 upfront and auto renewed at the end of each cycle. You may cancel anytime under Payment Settings. For more information, see our Terms and Privacy.
Payments are encrypted using 256-bit SSL. Powered by Stripe.