Textbook Notes for ECO100Y1 at University of Toronto St. George (UTSG)

Society"s resources must be managed because resources are scarce: the limited nature of resources is referred to as scarcity. The study of how society

Education typically increases the workers" wages from a human-capital view because it increases productivity; alternatively, education could also signa

The economic way of thinking (marginal analysis and opportunity cost) You are planning a trip to ottawa, which is 400 miles. Except for the cost, you a

Unemployment is divided into two problems: long-run unemployment and short-run unemployment. The natural rate of unemployment is the rate of unemployme

y = income after taxes and transfer payments.
e = labour market earnings = wages times hours worked. Demogrant: a lump-sum transfer allocated to th

if the market wage is less than the reservation wage
individual will not participate in labour force.
if the market wage exceeds the reservation

This model assumes there are only two type of decision makers: households and firms. Firms produce goods and services using inputs such as land, labor

The supply and demand for money determines the price of money. The price of money is the interest rate. The above figure shows how the supply and deman

Phillips curve shows the inverse relationship between the rate of inflation and the rate of unemployment in an economy: by altering monetary and fiscal

While you wait for the exam to start, please ll in the information below and complete the front and back of the scantron form. Do not open this test bo

States" cpi and producer price index (ppi), which measures the overall costs of the goods and services bought by the average firm as opposed to the con