Class Notes (834,986)
United States (324,008)
Economics (516)
CAS EC 102 (211)
Lecture 7

PM Lecture 7 Impact of Risk and Entrepreneurship on Economic Growth

2 Pages
102 Views
Unlock Document

Department
Economics
Course
CAS EC 102
Professor
Jay Zagorsky
Semester
Spring

Description
PM Lecture #7: Impact of Risk and Entrepreneurship on Economic Growth Monday, April 7, 2014 11:30 AM Why Do Managers Care? - A country's standard of living depends on its ability to produce goods and services ○ Rich countries can produce more than poor countries - The higher the standard of living, the bigger the market for products Why Are Some Countries Rich and Others Poor? - According to economist,Jean Baptiste Say, what a country produced was based on the following: ○ Amount o land it had (Land) ○ Number of people (Labor) ○ Factories (Capital) ○ Number and quality of risk-taking entrepreneurs Jean-Baptiste Say - Articulated the economicidea of laissez-faire ○ Gov't should not interfere with the economy.By leaving the economyalong, the economic pie would naturally end up as large as possible How Can a Country Grow? - One method is to make a country's citizens take more risk ○ Why is risk important to macroeconomics?  Entrepreneurs help a country dramatically increase GDP □ Entrepreneurs are risk taking people □ Counter Point: Malcom Gladwell does not believe that entrepreneurs are risk taking, instead, they are people who recognize great low risk opportunities that has a good pay off  New companies are important in the economy □ Number of new businesses formed  Most people are risk adverse, because of diminishing marginal utility ◊ Shown by d
More Less

Related notes for CAS EC 102

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit