Economics Overview
Subject:
Economics [1]
Economics Overview
I. The Foundation:
1. Economics is a social system that fulfills basic human needs
Family: basic needs
Education and Religion: ideals and social values
Politics: rule enforcement
Economics: a way to examine the goods and services of a society
2. There are four fundamental tenets of economics:
Figure out how to allocate scarce resources
Determine how to allot goods and services among the people
Figure out how to ensure economic stability and security
Determine how to guarantee economic growth
3. Society must choose what, how, and for whom to produce
4. Basic Economic terminology
Markets: the place where people can come together to exchange goods
Marginal costs: the cost of producing supplementary parts of a good