Textbook Notes (367,974)
Canada (161,538)
Economics (479)
ECO100Y1 (80)
Chapter 3-4

Chapter 3-4 The Principles of Economics.docx

2 Pages
Unlock Document

James Pesando

ECO100-Pesando-textbooknotes created by Lavender Y. Week 2-3: required readings chapter 3,4 Chapter 3 Interdependence and The Gains From Trade - Absolute Advantage: productivity (smaller inputs to produce a good) - Comparative Advantage: smaller opportunity cost  Impossible for one person tp have a comparative advantages in both goods  Producing goods (comparative advantage) --- total production rises  Individuals benefit from trade by obtaining a good at price that lower than the opportunity cost Chapter 4 The Market Forces of Supply and Demand - Market:  Def: a group of buyers and sellers of a particular good/service  Competitive market: there are so many buyers and seller that each has a negligible impact on the market price - Perfectly Competitive: 1. Identical goods 2. (Price takers) Numerous sellers / buyers with no influence over the market price, (e.g. wheat market) - Monopoly 1. One seller (e.g. local cable television) - Demand  The demand curve: relationship between price and quantity demanded  Quantity demanded: amount of good that buyers are willing to
More Less

Related notes for ECO100Y1

Log In


Join OneClass

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

Sign up

Join to view


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.