This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: a. Two markets i. Goods and services ii. Factors of production-inputs into the production process 1. land, labor, capital iii. Two agents 1. households 2. firms Production possibilities frontier-PPF a. graph that shows combinations of output that the economy can produce given the available factors of production and production technology II. Economist as a policy advisor a. Positive statement i. Describe how the world is b. Normative statement i. Prescribe how the world should be c. they make positive statements followed by normative ones...
View Full Document
- Fall '08
- policy advisor, economist I. Economists