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14 Cards in this Set
- Front
- Back
- 3rd side (hint)
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Define Economics |
The study of how people manage their resources to meet their needs and enhance their well being. |
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Well being |
A good quality of life |
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Positive questions |
Question concerned with issues of fact, or "what is" |
"What is the level of poverty in our country?" |
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Normative questions |
Questions having to do with goals and values, or "what should be." |
"How much effort should be given to poverty reduction?" |
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Intermediate goals |
Goals expected to serve as means to an end |
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Final goals |
Goals that are sought after for their own sake, rather than because they lead to something else |
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Wealth |
The net value of all material and financial assets owned by an individual. |
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Economic actor/(agent) |
An individual or organization engaged in one or more of the four economic activities. |
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Negative externalities |
Negative consequence of an economic activity that affect those who aren't directly involved with the activity |
Air pollution, neither the firm or the buyer take this into account |
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Positive externalities |
Unintended consequence of an economic activity that increases well being. |
College, although an economic transaction between the educational institution and a student, society benefits for having college educated ******* |
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4 essential economic activities |
Resource maintenance, Production, Distribution, Consumption. |
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5 kinds of capital |
Natural, Manufactured, Human, Social, Financial capital. |
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PPF |
Production possibilities frontier |
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Opportunity Cost |
The value of the best alternative when a choice is made |
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