ECON 1000 Chapter Notes - Chapter 1: Opportunity Cost, Marginal Cost, Marginal Utility

60 views3 pages

harlequindeer380

2 Dec 2013

School

Department

Course

Professor

For unlimited access to Textbook Notes, a Class+ subscription is required.

castroariane563 and 39059 others unlocked

ECON 1000 Full Course Notes

Verified Note

10 documents

Document Summary

Economics is the social science that studies the choices that individuals, businesses, governments, and entire societies make as they cope with scarcity and the incentives that influence and reconcile those choices. Microeconomics is the study of choices that individuals and businesses make, the way these choices interact in markets and the influence of governments. Macroeconomics is the study of the performance of the national economy and the global economy. Scarcity is the economic problem of having fewer resources than needed to fill human wants and needs. It is universal and it confronts all living things. Goods and services are the objects that people value and produce to satisfy human wants. Examples of some goods are cellphones and automobiles. Some examples of service examples are cell phone service and auto repair service. Goods and services are produced by using productive resources that economists call factors of production. There are four types of factors of production: -

Related Questions

1) Which of the following is the best definition of economics? A) The study of how producers decide what inputs to hire and what outputs to produce. B) The study of how a provincial government allocates tax dollars. C) The study of how individuals, businesses, governments, and entire societies make choices as they cope with scarcity and the incentives that influence and reconcile those choices. D) The study of how consumers spend their income. E) The study of how consumers and producers meet each other at the market.

2) Which of the following is the best definition of economics? A) The study of how individuals, businesses, governments, and entire societies make choices as they cope with scarcity and the incentives that influence and reconcile those choices. B) The study of how consumers and producers meet each other at the market. C) The study of how a provincial government allocates tax dollars. D) The study of how consumers spend their income. E) The study of how producers decide what inputs to hire and what outputs to produce.

Economics is the social science that studies:

a. how people make choices to cope with scarcity.

b. how choices made in the social interest could eliminate scarcity.

c. the real reasons people buy goods and services.

d. whether the nation has enough natural resources.

e. the psychology of individuals and businesses.