Reading...
Play button
Play button
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;
21 Cards in this Set
- Front
- Back
|
economics
|
the common sense science of how and why people, businesses, and governments make the choices they do
|
|
|
Insatiability
|
refers to the face that everyone has unlimited wants
|
|
|
Scarcity
|
everything is limited in quantity
|
|
|
Economic Cost
|
the value people place on a good or service that helps to determine the price of the good or service
|
|
|
Good
|
any tangible thing that has a measurable life span
|
|
|
Services
|
intangible items
|
|
|
Economic Goods and services
|
goods and services that bear a positive economic cost (price tag higher than zero)
|
|
|
Nuisance Goods
|
goods that a consumer pays to have removed and bear a negative economic cost
|
|
|
Recycling
|
a process of turning various nuisance goods into economic goods
|
|
|
Free Goods and Services
|
goods and services with a price tag of zero
|
|
|
Diamond-Water Paradox- D
|
iamonds were obviously more valuable than water, but this was incorrect when one considered that a wealthy person dying of thirst would give every diamond he had for one glass of water.
|
|
|
Intrinsic Value-
|
a principle that holds that a thing is valuable because of the nature of the product
|
|
|
Subjective Value
|
states that it is an object’s usefulness to the buyer that determines its worth
|
|
|
Utility
|
usefulness
|
|
|
Opportunity Benefit
|
the satisfaction a person receives from the choice they make
|
|
|
Opportunity Cost
|
the regret you experience for not choosing differently
|
|
|
Util
|
an economic term for an imaginary unit of satisfaction
|
|
|
Microeconomics
|
deals with choices made by individual units: individual people, households, or businesses
|
|
|
Macroeconomics
|
examines large-scale economic choices and issues
|
|
|
Positive Economics
|
the approach of observing economic choices and predicting economic events
|
|
|
Normative Economics
|
making value judgments about existing or proposed economic policies
|
