Living Standards and Capitalism in Relation to the Biosphere

These flashcards focus on key concepts regarding living standards, capitalism, technological progress, and their implications for the economy and the biosphere.

Living Standards

The level of wealth, comfort, material goods, and necessities available to a certain socioeconomic class or geographic area.

Technological Progress

A change in technology that reduces the resources required to produce a given amount of output.

Capitalism

An economic system characterized by private property, markets, and firms.

Malthusian Model

A theory that suggests improvements in technology will not raise living standards if population growth outpaces resources.

Gross Domestic Product (GDP)

A measure of the market value of the output of final goods and services in an economy in a given period.

GDP per Capita

GDP divided by the total population, providing an average economic output per person.

Inequality

The unequal distribution of income and opportunity between different groups in society.

Biosphere

The global sum of all ecosystems. It is the zone of life on Earth, a closed system that is influenced by human and natural processes.

Natural Resources Depletion

The consumption of a resource faster than it can be replenished.

Industrial Revolution

A period of major industrialization that took place during the late 18th and early 19th centuries.

Correlation

A statistical relationship indicating the degree to which two or more variables move in relation to each other.

Economic Systems

A structured way in which a society allocates resources and distributes goods and services.

Firms

Businesses or organizations that produce goods or services for consumption.

Specialization

The process of focusing on a particular area of production, improving efficiency and output.

Natural Experiment

A research design where the impacts of a naturally occurring event on a specific outcome are studied.

Hockey Stick Graph

A graph that depicts a flat trend for a long period followed by a sudden increase in value.

Average Product of Labor

The total output produced divided by the number of labor units used.

Climate Change

A long-term shift in temperatures and weather patterns, largely driven by human activity.

Economic Growth

An increase in the production of economic goods and services, compared from one period of time to another.