Studied by 1 person
BASICS OF ECONOMICS IN FLASHCARDS :D DIAGRAMS AND STUFF INCLUDED
Opportunity cost
The next best alternative given up when making a choice.
Demand
The quantity of a good or service that consumers are willing and able to buy at a given price in a given time period.
The basic economic problem
How to best use the limited resources to satisfy the unlimited wants of consumers
Demand
The quantity of a good or service that consumers are willing and able to buy at a given price in a given time period
Supply
The quantity of a good or service that producers are willing and able to supply at a given price in a given time period
Opportunity cost
The next best alternative given up when making a choice
Wants
The unlimited desire for anything the consumer wants to purchase, even if they arent currently able, e.g a pet clive
Needs
Something the consumer must have in order to survive, e.g food and water, economics lessons
Aggregate Demand
The total demand for goods and services produced within the economy over a period of time
Formula for Aggregate Demand
C + I + G + (X -M)
The factors of production
The four things a firm needs to be able to produce their products or provide their service
CELL
Capital, Enterprise, Land, Labour
Basic demand and supply diagram
Basic AD and AS diagram
Note
Flashcard