Documents about Scarce Resources

  • 3 Pages

    week1-082

    Pittsburgh, ECON 0100

    Excerpt: ... Lecture Topics Define economics (it's about the allocation of scarce resources ) Introduce economic basics Scarcity, Choice, Cost Cost-Benefit Principle Marginal Analysis and Decisions Microeconomics. The study of how households and firms make decisions and how they interact in markets. Macroeconomics. The study of economy-wide phenomena, including inflation, unemployment, and economic growth. Scarcity . . . never enough time, money, or energy to do everything we want or have everything we want. Scarce resources : labor land capital technology time 1 SCARCITY CHOICE The existence of scarcity forces us to choose. $35 Oakland $25 Waterfront $10 Benefit ? Cost SCARCITY CHOICE COST The cost of something is what you give up to get it. Choosing one alternative over another has a cost associated with it. Opportunity cost is the highest valued alternative that must be given up to attain something or satisfy a want. MODELS (or THEORY) A model is a simplified description o ...

  • 2 Pages

    Scope and Method of Economics

    Penn State, ECON 4.3

    Excerpt: ... Econ 4.3 Wednesday January 13 1999 Announcements: Read Chapter 2 by Friday 1/15/98. All class announcements will be made on the website. Complete problem #5 in Chapter 1 for Friday. Lecture notes: Chapter 1 Scope and Method of Economics Economics is the study of how individuals and societies choose to use the scarce resources that nature and previous generations provided. How do you use society's scarce resources in such a way to make people best off? The most important cost concept is opportunity cost Opportunity cost is what is given up when we make a choice or decision Everything you do has an opportunity cost Economics is everywhere Resources are scarce and the decision on what to use is weighed when we consider extra benefits versus extra costs Economics doesn't prove theories Economics develops analytic models Only a theory can establish cause and effect There are two major divisions of economics Microeconomics: the branch of economics that examnies the functioning of individual industries and b ...

  • 2 Pages

    PAM 200 8.27 Notes

    Cornell, PAM 2000

    Excerpt: ... 8/27/07 PAM 200 Economics- The study of the allocation of scarce resources Although scarce resources have changed dramatically; we study why there always are scarce resources although there is a vast difference between scarce resources in different time periods. Professor gave examples of how economics applies to everyday situations (FDA, lunch, and nyc parking example) Microeconomic Principles Ceteris Paribus Conditions Income (I) Price of related goods (Px) Tastes, or anything else that affects Demand (x) Demand Curve- Shows the relationship between price and quantity demanded 1st law of Demand: As P increases, qD decreases Income If income increases and. a. Demand increases, the good is normal b. Demand decreases, the good is inferior Price of other goods If the price of good Y increases, and as a result the demand for good X increases the goods are substitutes (ex. gasoline and natural gas) If the price of good Y increases, and as a result the demand for good X decreases the goods are compliments ...

  • 1 Pages

    Notes_from_Class_Lecture_on_9.9.08

    Michigan State University, ISS 210

    Excerpt: ... Notes from Class Lecture on 9/9/08 Major Sociological Perspectives -Structural functionalism and conflict theory are macrosociological perspectives, whereas symbolic interactionism is a microsociological perspective -Marx is the main theorist of conflict theory -Durkheim is the main theorist of structural functionalism -George Herbert Mead is the main theorist of symbolic interactionism -Structural functionalists interpret all social groups (from families to whole societies) as systems whose parts are interdependent so that a change in one element necessarily leads to changes in every other element. -Conflict theorists view change, rather than stability, as normal in society. -Conflict theorists view society as an arena in which different individuals and groups struggle with each other in order to obtain scarce resources , especially property, prestige and power. -Symbolic interactionists emphasize that larger social structures (e.g., organizations, institutions, groups, etc.) are nothing more than the creatio ...

  • 6 Pages

    L1 overview

    Cornell, ECON 1120

    Excerpt: ... ory: We will construct models. Look at the world and decide what it is we want to explain or predict identify important variables state assumptions that govern the model make hypotheses analyze the model use the model to make predictions and then see if the model holds up under empirical scrutiny. http:/www.arts.cornell.edu/econ/wissink/econ102jpw/ S08 Lec1-4 Economic(s): The study of the allocation of scarce resources to produce commodities to satisfy infinite human wants. Classic definition. http:/www.arts.cornell.edu/econ/wissink/econ102jpw/ S08 Lec1-5 MACROeconomics: MACRO VS. MICRO Micro: Looks at small pieces of the puzzle, individual markets Three basic micro questions: What? How? For Whom? How will these answers be decided? How will we "like" the final allocation? http:/www.arts.cornell.edu/econ/wissink/econ102jpw/ S08 Lec1-6 ...

  • 7 Pages

    ECN_203__1__Introduction

    Syracuse, ECN 203

    Excerpt: ... Chapter 1: Overview Why Study Economics? Scarcity- Resources are finite or scarce, especially relative to human wants and needs. What are some scarce resources ? The Study of Economics The study of how societies manage scarce resources . It's about making decisions (choices). Economics is a necessary but not sufficient tool for examining the work. Microeconomics Versus Macroeconomics Microeconomics - The study of economic decisions of individuals and firms (businesses). Macroeconomics - The study of economic decisions in the economy as a whole (aggregates or totals). Decision Making and Opportunity Cost Opportunity Cost The cost of pursuing a given choice or decision, based upon the best alternative given up. Cost of choosing. What's your opportunity cost for coming to class today? Economic Models In this class, we will build basic models to make predictions about economic behavior. Models make simplifying assumptions. Ceteris Parib ...

  • 4 Pages

    Introduction

    UMKC, ECON 202

    Excerpt: ... market and nonmarket institutions, and workers. Its particular areas of interest include demand for goods and services, production and costs of enterprises, prices of goods and services, investment decisions, determination of wages and profits, and market competition. b. Fields in economics: history of economics/economic thought, methodology, industrial organization, labor economics, law and economics. B. Neoclassical Microeconomics 1. The neoclassical approach is a particular way of explaining the social provisioning process. The best way to see what this approach is by looking at its definition of economics: "Economics is the study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided." Some economists argue that the keyword in the definition is choose; thus economics is the study of how people make choices. And the choices that people make, when added up, translate into societal choices. However there are problems with this: this imp ...

  • 2 Pages

    1 Econ HW Notes

    UMiami, ECONOMICS 211

    Excerpt: ... From Book Economics Notes Ch. 1-Ten Principles of Economics Scarcity: The limited nature of society's resources Economics: The study of how society manages its scarce resources Efficiency: The property of society getting the most it can from its scarce resources -Size of the pie-Maximum you can get out of your resources Equity: The property of distributing economic prosperity fairly among the members of society-How the pie is divided-The fairness of the distribution of resources Opportunity cost: Whatever must be given up to obtain some item Rational People: People who systematically and purposefully do the best they can to achieve their objectives Marginal changes: Small incremental adjustments to a plan of action Incentive: Something that induces a person to act Market Economy: An economy that allocates resources through the decentralized decisions of many firms and households as they interact in markets for good and services Property Rights: The ability of an individual to own and exercise control over scar ...

  • 3 Pages

    Members of the Constitutional Convention

    Penn State, PL SC 014

    Textbook: Global Politics

    Excerpt: ... Political Science 014 Monday January 18th 1999 Announcements: Make sure to be in recitation the country for you first project will be assigned during this time. Lecture notes: I. Politics who gets what when & how A. The problem with politics is the allocations of scarce resources B. You should think of politics in the same way as you view economics 1. The trading of goods (free-will) 2. Most of the actions such as taxes are influenced by society but the rights are not taken away as easily 3. When someone is gets a right someone else loses a right C. Redistribution- the spreading of scarce resources (w/ in a nation). II. Power A. Two kinds of power: 1. Economic power (determines who can run in an election) 2. Lawmakers' power (determines how the election will run). A. Power is the key factor but can't be measured you must make inferences 1. This is the reason that theory is important in international politics. III. Members of the Constitutional Convention A. They were wealthy landowners who were appointe ...

  • 7 Pages

    Lecture Notes

    UCLA, ECON 2

    Excerpt: ... PRINCIPLES OF MACROECONOMICS (ECON 2) FALL 2004 LECTURE NOTES 9/30/04 Economics Making choices using scarce resources (because people always want more). Scarce resources usually have prices (unless they are natural resources that are naturally depleted). People Face Tradeoffs To get one thing, you have to give up something else. Making decisions requires trading off one goal against another. Efficiency Producing the greatest amount of goods and services. Valuability Produced goods and services must be the most highly valued goods and services. Equity A fair distribution of economic output. Opportunity Cost Next best foregone alternative (what you could have had vs. what you have now). Unfunded Liability Difference of future revenues and future costs. At the Margin Making rational decisions in incremental units. People respond to incentives Decisions are made in reaction to incentives by weighing marginal costs with marginal benefits. Trade makes people better off Trade allows for specializ ...

  • 1 Pages

    EC 201 NOTES 8.27

    Michigan State University, ECON 201

    Excerpt: ... EC 201 NOTES 8/29/07 Megan Block Blockmeg@msu.edu Economics the study of how people choose to allocate scarce resources (science of choice) 1.) resources are scarce but desires are infinite = must make choices 3 questions that must be addressed by human society 1) 2) 3) d What shall be produced? -these choices are made by interactions of buyers and sellers in markets How shall those goods and services be produced? For whom? Who gets all this stuff? Income distribution (bill gates to person living under the bridge.) Rewards received in markets (going to college) Positive (actual workings of economy, can be shown to be correct or incorrect) statements vs. normative (what ought to be, what should be. Based on value judgments. Can't be proven to be correct or incorrect) statements Economist's strength is positive analysis Microeconomics (studying the behavior of the littlest units that are making the decisions: mostly households and business firms) vs. Macroeconomics (study of the overall economy wide ...

  • 33 Pages

    Ch 1-2 - What is Economics, The Economic Problem

    University of Texas, ECON 33815

    Excerpt: ... enefit of the 5th glass is already almost zero. Marg. cost and Ch. 2 The Economic Problem 26 benefit (cont.) E The equilibrium MC : given by the point E slope of the PPF corresponds to the (scarcity) best possible allocation of our (scarce) resources. before point E, MB: given by your MB>MC so that it is prefs, amount you in willing to pay areyour interest to produce more pizzas to the right of point E, MB<MC so that it is in your At the intersection (point E, where MB=MC) there interest or Y. This is no incentive to get more of good X to produce is less pizzas (more called an equilibrium. ThisCDs) corresponds to a single point on the PPF, thus helps making the The Marg. cost and Ch. 2 The Economic Problem 27 benefit (cont.) equilibrium MB=MC corresponds to a unique point on the PPF (point B). Since point B is on the PPF, it represents the combinations of goods that are optimal (using our scarce resources efficiently) this is the point of allocative efficiency. Once Marg ...

  • 2 Pages

    Scarcity and Choice

    Penn State, ECON 4.3

    Excerpt: ... to purchase) 2. How will it be produced? o Technological issue 3. Distribution - who gets the product that is produced? Free Market deteremined by individuals selling scarce resources they own and with the income they can buy the products Because people won't voluntarily give money the government steps in and taxes Production Possibilities Frontier - illustrates the principles of constrained choice, opportunity cost and scarcity. It shows what is possible and what isn't ...

  • 2 Pages

    Intro MicroEcon Test Review 1

    Mary Washington, ECON 304

    Excerpt: ... Chapter One: Economics is about the allocation of scarce resources That individuals face trade-offs The meaning of opportunity cost How to use marginal reasoning when making decisions How incentives affect peoples behavior Why trade among people or nations can be good for everyone Why markets are a good, but not perfect, way to allocate resources What determines some trends in the overall economy How people make decisions How people interact How the economy works as a whole 1. The fundamental lessons about individual decision making are that people face tradeoffs among alternative goals, that the cost of any actions is measured in terems of forgone opportunities, that rational people make decisions by comparing marginal costs and marginal benefits, and that people change their behavior in response to the incentives they face. 2. The fundamental lessons about interactions among people are that trade can be mutually beneficial, that markets are usually a good way o ...

  • 7 Pages

    Chapter 1 Notes

    Cornell, ECON 1110

    Excerpt: ... Chapter 1 Notes: 10 Principles of Economics Economy comes from the greek word oikonomos o One who manages the household Scarcity: society has limited resources and therefore cannot produce all the goods and services people wish to have. Economics: the study of how society manages its scarce resources Economist study how people make decisions, how much they work, what they buy, how much they save, etc Determine how the multitude of buyers and sellers of a good determine the price Analyze forces and trends that affect the economy has a whole o Growth in avg income o Fraction of the pop that cant find work o Rate which prices are rising How People Make Decisions Behavior of the economy reflects the behavior of the individual who makes up the economy 4 principles of decision making Principle 1: People face Trade-offs Making decisions requires trading off one goal against another When people are grouped into societies they face diff kinds of trade-offs o "guns and butter" (classic) The more we spend on national d ...

  • 5 Pages

    bio practice exam

    Washington State, BIO 101

    Excerpt: ... the cytoplasm e. so that it can break down its nuclear envelope 8. Which components below can be found as part of infective viruses? a. DNA b. RNA c. protein d. lipid e. all of the above 9. Movement of materials into a cell against a concentration gradient is most likely: a. diffusion b. osmosis c. facilitated diffusion d. active transport e. none of the above 10. A population of deer was threatened with overpopulation until cheetahs were imported. After a couple of years there were fewer deer but the average running speed of the deer had increased. This is an example of: a. inheritance of acquired characteristics b. induced mutation c. mutation d. natural selection e. mitosis 11. What is the #1 trait that women tend to look for in a mate? a. intelligence b. attractiveness c. youthfulness d. faithfulness e. resources 12. Which of the following can be a cost to sociality? a. competition for resources b. more individuals = more eyes for spotting predators c. access to scarce resources d. more efficient foraging ...

  • 4 Pages

    Midterm Review

    USC, ECON 203

    Excerpt: ... Midterm Review Chapter 1: (7 total questions) What is the meaning of utility? 9/26/2007 2:04:00 PM What is really economics?: administration of scarce resources , and to satisfy and limited ones Essay: What is scarcity/shortage, difference p. 6: what is micro/macro economics?: study of individual of an individual unit (micro), study of the economy as a whole (macro) What is positive and normative economics? p. 10: scarce resources , labor, entrepreneur p. 11/12 Chapter 2: (6 total questions) Economic system, command economy? What are the characteristics of capitalism?: private property Competition: gov't protect competition: results lower prices, better quality, choice p. 32: What is specialization, results Division of labor: results: higher output, efficiency, etc p. 37: The invisible hand p. 38: circle flow of income Chapter 3: What is the law of demand? Income substitution (2 questions) Citrus peribus Law of supply: (2 questions) p. 54: how much surplus, 3.6 Chapter 4: What is the price floor and pric ...

  • 2 Pages

    lec01

    Berkeley, ECON 1

    Excerpt: ... ECONOMICS: How societies use scarce resources to produce valuable commodities and distribute them among people. What goods are produced? What resources are used to produce the goods? Who gets to consume the goods? Economics How to create more benefits with existing scarce resources . Scarcity Choice Opportunity Cost Microeconomics: Behavior of individual consumers and firms. Opportunity cost: What we forego when we make a choice. Macroeconomics: Behavior of the economy as a whole. Creation of abundance. Ways to produce more. Opportunities for mutually advantageous trade. New products and processes. Course requirements: Lectures Sections Textbook 5 Problem Sets 2 Midterm Exams Final Exam Grading Problem Sets: Midterms: Final Exam: 5% total 25% each 45% Lecture slides Hardcopy of slides available at Desktop Design Center 100 Berkeley Square Online at course website Remember . Each GSI grades his/her students. Expected grade distribution for each GSI: A's B's ...

  • 21 Pages

    slides1

    Yale, ECON 115

    Excerpt: ... 1 Economics 115b: Introductory Economics Tuesday-Thursday 1:00 - 2:15 SSS 114 Mr. George J. Hall and Faculty Yale University Introduction: Mechanics and the Big Picture 1. Course Mechanics 2. What is Economics? 2 People Face Tradeoffs The Cost of Something is What You Give Up to Get it 3. What is Microeconomics? 4. The Need for Models 5. Policy 6. The Production Possibilities Frontier Course Mechanics Economics 115b is an introductory, survey course in microeconomics. topics in both economic theory and policy. 3 Economics is the study of how scarce resources (such as our time and stuff) are allocated. The course will develop a theoretical framework for this analysis and show how this framework can be applied to real-world issues such as pollution abatement, crime, international trade policy, and the role of markets and government in our society. The first half will focus on models of "perfect" competition with an emphasis on the conditions necessary for achieving efficiency i ...