ECON 1000 Chapter : Chap Notes 1,2,3,4,5,9,10,11,12.docx

• School: York University
• Department: Economics
• Course: ECON 1000
• Professor: Cristobal Sanchez- Rodriguez

Document Summary

If the price of pop falls, the child has an incentive to choose more pop. (cid:224) economics: 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. (cid:224) economics is divided into two main parts: microeconomics and macroeconomics. (cid:224) microeconomics: the study of the choices that individuals and businesses make, the way these choices interact in markets, and the influence of governments. Points outside the ppf are unattainable. (cid:224) opportunity cost is a ratio: it is the decrease in the quantity produced of one good divided by the increase in the quantity produced of another good as we move along the ppf. (cid:224) because opportunity cost is a ratio, the opportunity cost of producing an additional can of cola is equal to the inverse of the opportunity cost of producing an additional pizza. (cid:224) discrimination causes underemployment of resources.