Intro. Class, Principles of Economics

Intro. Class, Principles of Economics - culture) ♯...

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Principles of Economics: Introduction From an economic point of view, happiness depends upon material items (more  possessions = more happiness) After a while, wants become needs   the more wants an individual can achieve,   the more successful that individual is deemed to be Economics (and behavior) is about wants  However, spiritual / mental happiness derives from charity + good   deeds People strive to fulfill unlimited wants with limited resources   undesirable outcomes Dilemma = scarcity, created by unlimited wants + limited resources  Struggle / demand for resources creates conflict between individuals,  groups, + nations Scarcity comes with a price + creates crises: Honesty / conscience (i.e. not pocketing $100) Status is sacrificed when crimes are committed (i.e. stealing /  mugging) Solution = increasing resources (western cultures) or limiting wants (eastern 
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Unformatted text preview: culture) ♯ Individuals from Western cultures become innovate in discovering, exploring, and inventing new resources to satisfy wants deplete / → occupy the resources of others ♪ The dominant individuals or groups in society are inevitably those that strive for increased resources ♫ Three Principles of Economics: 1. Individuals have to be self-interested (+ rational / smart) 2. Freedom of choice 3. Maximize self-interests A modus operandi (behavior pattern / habit / mode of functioning) → emerges, one in which an individual compares marginal (additional) benefits to marginal costs / consequences: if an additional benefit exceeds the additional cost, the individual will make that choice or decision...
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This note was uploaded on 04/26/2008 for the course EC 05 taught by Professor Abdullah during the Spring '08 term at Tufts.

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