Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
34 Cards in this Set
- Front
- Back
|
Factors of Production |
Land Labor Capital Management |
|
|
Scarcity |
Lack of resources(includes time) |
|
|
Choice |
Resources are scarce, need choices (Time)(Resources) |
|
|
Opportunity cost |
Value of next best alternative (The exchange)(Pros-Cons) (Study or go out) Go out and flunk test |
|
|
Income distribution |
How we divide what we produce (Equal vs. Unequal) |
|
|
Utility |
Satisfaction gained from consuming a certain amount of a product |
|
|
Model |
Simplified version of real world |
|
|
Ceterus Peribus |
Other things being equal |
|
|
Micro economics |
Study of individual decision making by an entire market or economy |
|
|
Macro economics |
Study of group decision making by an entire market or economy |
|
|
Positive economics |
The study of economics using value free analysis |
|
|
Normative economics |
The study of economics using values |
|
|
Command economy |
All economic decisions made by government |
|
|
Free market |
All economic decisions made by individuals and firms |
|
|
Mixed economy |
Economic decisions are made partly by government and partly by free market |
|
|
Consumer Sovereignity |
The ultimate purchaser of goods and services determine what will be produced in a society |
|
|
Competition |
Rivalry among sellers who wish to attract consumers and rivalry among buyers who wish to buy goods |
|
|
Efficiency |
Costs of production go down |
|
|
Pricing system |
Prices signal the value of resources |
|
|
merit goods |
Have positive effects |
|
|
Demerit goods |
Have negative effects |
|
|
Monopoly |
Sole supplier of one good |
|
|
Economic growth |
measurement of the change in a countries national output |
|
|
GDP |
Gross Domestic product How much your economy produces |
|
|
GNP |
Gross National product |
|
|
National income |
The value of an goods and services produced in an economy in a given time period(year) |
|
|
Expenditure method |
All spending on goods and services in the economy |
|
|
Output method |
Add up all the goods and services produces in the economy (Land, Labor, Capital, Management) |
|
|
Income method |
Add up all the incomes earned (rent,wages,interest,Profit) |
|
|
Real |
Without the effects of inflation |
|
|
Real national income |
No inflation |
|
|
Economic development |
Measurement of the change in a countries welfare as measured by changes in education, healthcare, and GDP. |
|
|
HDI |
Human Development index most used in economic development measured (Mean years and expected schooling) (Life expectancy at birth) GNP/per capita |
|
|
Sustainable development |
Development that meets the meets the need of the present without compromising the ability the abilities of future generations to meet their own needs. |
