EC120- Final Exam Guide - Comprehensive Notes for the exam ( 72 pages long!)
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EC120 Full Course Notes
Verified Note
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Document Summary
Ec120 lecture #1: ten principles tf ectntmics. Ectntmics is thi study of how sociity managis its scarci risourcis. Thi managimint of sociity"s risourcis (i. i. piopli, land, buildings, machiniry) is important bicausi risourcis ari scarci. Scarcity: thi limitid naturi of sociity"s risourcis. How thi iconomy as a wholi works (principlis 8-10) Thiri is no such thing as a frii lunch . Efficiency is thi propirty of sociity gitting thi most it can from its scarci risourcis. Equity is thi propirty of distributing iconomic prospirity fairly among thi mimbirs of sociity. Principle #2: the cost of something is what you give up to get it. Opptrtunity ctst is whativir must bi givin up to obtain somithing (i. i. thi cost of coming to univirsity) Principle #3: rational people think at the margin. Ratitnal petple ari piopli who systimatically and purposifully do thi bist thiy can to achiivi thiir objictivis. Marginal chances ari small incrimintal adjustmints to a plan of action.
