23MeierPP01_18e - Chapter 1 Chapter 1 Limits, Alternatives...

Info iconThis preview shows pages 1–11. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Chapter 1 Chapter 1 Limits, Alternatives & Limits, Alternatives & Choices Choices Outline Economics defined Economics defined Making choices Making choices Resources, wants Resources, wants Macro vs. micro Macro vs. micro Positive vs. normative Positive vs. normative Use of graphs Use of graphs Economics is the study of how man uses resources to satisfy wants. Economics Thus, economics is a study of making choices. Economics The basis for making these choices is the fact that resources resources are limited limited , but wants wants are unlimited unlimited . . Economics Resources in economics are termed factors of factors of production production . Resources Factors of production: Resources Land Labor Capital Entrepreneurial ability Land Land means the same as natural resources natural resources . Examples include oil, coal, iron ore, agricultural land, forests and water. Land Labor Labor Labor refers to the physical and mental talents physical and mental talents of individuals of individuals . Examples include auto workers, teachers, retail clerks and many others. Capital Capital Capital is not money in this course. Businesses convert money into real capital, such as equipment, equipment, tools and buildings tools and buildings . This is how we look at capital in economics. Entrepreneurial Ability...
View Full Document

Page1 / 35

23MeierPP01_18e - Chapter 1 Chapter 1 Limits, Alternatives...

This preview shows document pages 1 - 11. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online