ECO201 Exam 1
Call Kai
Learn
Practice Test
Spaced Repetition
Match
Flashcards
Knowt Play1/27
There's no tags or description
Looks like no tags are added yet.
Name | Mastery | Learn | Test | Matching | Spaced | Call with Kai | Chat |
|---|
No analytics yet
Send a link to your students to track their progress
28 Terms
economics
study of the allocation of limited resrouces across unlimited wants
resources
inputs into production (makes stuff we want)
land
type of resource
natural resources (ground, dirt, minerals)
labor
type of resource
human inputs
capital
type of resource
created inputs or resources
stuff that makes stuff (machines, roads, trucks)
entreprenuership
the risk of bringing together resources to produce products
can be counted as labor
technology
the recipe by which we bring together resources to produce an output
constraints
technology
time
wealth/money
positive economics
describing how the world is or works
Fact
normative economics
what the world should look like
margin
choice made by comparison
marginal benefit
benefit received from consuming one more of a good or service
marginal cost
opportunity cose of producing one more
microeconomics
individuals make decision
macroeconomics
government and things in the news
value
what we are willing to give up in order to get or do something
opportunity cost
the most valuable thing I give up to get or do something
free market
no regulations overseeing markets
market
exchange of things and information (set of rules)
absolute advantage
when one resource can produce an output using less time or other resources than another
you can do something that someone else cant
comparative advantage
when one resource can produce an output at a lower opp cost than another
ex. we could do the same thing, but we dont
demand
the (usually) inverse relationship between price and quantity of a good
change in quantity demanded
a change in the number of units wanted due to change in price
movement along demand curve
change in demand
change in the number of units wanted with no change in price
whole curve shifts
normal goods
demand and income move in the same direction
inferior goods
demand and income move in opposite directions
ex. ramen: as income increases, demand of ramen goes down and vice versa
substitutes
as price of A increases, the demand for B increases
complements
goods we consume together