Economics 1021A/B Lecture Notes - Lecture 1: Sport Canada, Opportunity Cost, Ceteris Paribus

• School: Western University
• Department: Economics
• Course: Economics 1021A/B
• Professor: Bruce Hammond

Document Summary

Economics 1201a - lecture 1 introduction to economics. Classes may go until 9:30 or 10:00 pm. Textbook microeconomics: canada in the global environment, 9th edition, parkin and. Evaluation: option 1 test #1 (25%), test #2 (25%), final exam (50%, option 2 myeconlab quizzes (10%), test #1 (25%), test #2 (25%), final. What is economics: study of choices that people make when wants exceeds resources. Fundamental economic problem: scarcity: need to economize choose best, or optimal, use of available resources, you can"t get what you want, you get what you need . Use manual labour to build roads (less expensive, more time), or use machinery to build roads (more expensive, less time) For whom to produce: capitalist system free market where people with money purchase goods, socialist system - goods are rationed and allocated to the population in terms of need. Problem with allocating according to need it only works in small groups. System breaks down in large groups, like countries.