Econ quarter 1
0.0(0)
Studied by 9 people
Call Kai
Learn
Practice Test
Spaced Repetition
Match
Flashcards
Knowt PlayCard Sorting
1/16
Last updated 1:34 PM on 11/27/22
Name | Mastery | Learn | Test | Matching | Spaced | Call with Kai |
|---|
No analytics yet
Send a link to your students to track their progress
17 Terms
1
New cards
Production Possibilities Curve (PPC)
Used to analyze concept of opportunity cost
2
New cards
Assumptions of PPC:
2 goods produced, max efficiency, ceteris paribus
3
New cards
Why shift of entire PPC
Potential growth, e.g change in quality/quantity of FOP
4
New cards
Opportunity cost
Cost of the next best thing when you buy something (choice)
5
New cards
Constant Opportunity cost PPC
Resources easily adaptable for producing either good
6
New cards
How to improve FOP
Educate population, invest in tech advancements
7
New cards
How to improve FOP (gov’t)
Increase imports (more resources), invest in education, take land by force
8
New cards
Leakages
Money flows out of economy
9
New cards
Leakages closed circular flow
Imports, savings, taxes
10
New cards
Injections
Money flows into economy
11
New cards
Injections closed circular flow
Exports, investment, government spending
12
New cards
Labor income
Wage
13
New cards
Land income
Rent
14
New cards
Capital income
Interest
15
New cards
Entrepreneurship income
Profit
16
New cards
Transfer payments
Gov’t gives money to consumers w/o getting paid back
17
New cards
Market
People willing and able to purchase a g/s/resource and can carry out an exchange w a firm