MGEA01H3 Lecture Notes - Lecture 4: Comparative Advantage, Hand Model, W. M. Keck Observatory

• School: UTSC
• Department: Economics for Management Studies
• Course: MGEA01H3
• Professor: Michael H O

Document Summary

Reason for long-term increase in canadian"s average living standards. Productivity: measure of how much output/income produced by one hour of work effort: gradually rising but recently slowed. Due to decrease in fertility and increased life-expectancy. Will be decline in labour force growth rate due to retirement: more difficult to find workers so higher wages, increase in public health-care spending increase tax. Microeconomics - decision making process of households and firms and how them two interact in the market so there will be an outcome interested in the outcome being efficient or equitable. Decisions must be made due to limited resources scarcity. Example grocery shopping limited budget, how to use wisely, use as little money to get as much as possible. If i offer the student with highest mark lunch" all costs paid. No, b/c you gotta work hard for highest mark and you"re giving up your time for lunch, could be having lunch with someone else.