ECON-100 FA4 Lecture Notes - Lecture 2: Ceteris Paribus, Demand Curve
1 Sep 2016
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How did america become so rich and free: 2015 us per capita income = ,486. All the income earned in the country last year and divide by the population size: family of 4 expected income = ,944, actual average household income = ,657. One third of the world"s population lives with less than per day: us pci is approximately . 05 per day. Basically, in the rich countries today, we have become incredibly rich and very free- much more in both than visionaries ever thought possible: this is fragile, though, and could change at any time. Severe economic dysfunction is one of the greatest fears. Wealth is made up of natural resources and stored up capital. Combine population and wealth in order to have output. The solution to putting serfs and slaves to work to make output was capitalism: the solution was wages and prices. Most of the output returns to the population are resources.
