San Jos State University
Department of Economics
Econ 1A, Prin of Econ, Sec 21(28527), Spr 2017
Full notes on sections 3 & 5 and key review of chapter 1,2, and 4 https:/1drv.ms/u/s!
Quizzes 1-4 https:/quizlet.com/_371yap
Definitions/ Formulas from notes https:/quizlet.com/_3799qf
The Economic Approach:
Running head: THE ROLE OF COSTS
The Role of Costs
THE ROLE OF COSTS
The Role of Costs
Since scarcity is a reality, society is forced to make choices about the type and amount of goods
they should consume and produce. These decisions are importan
Running head: THE RIGHTS OF PRIVATE PROPERTY
The Rights of Private Property
THE RIGHTS OF PRIVATE PROPERTY
The Rights of Private Property
Without property rights, society would be in a disorganized, chaotic state that lived in a constant
state of viol
What Are the Unintended Consequences of the War on Drugs?
The War on Drugs had several detrimental unintended consequences that adversely
affected the world's population and economy for years to come. The War on Drugs was originally
Why Do Most Economists Oppose Raising the Minimum Wage?
There are a variety of issues that come with raising the minimum wage. The overarching
problem with raising the minimum wage is that it would result in a massive loss of jobs b
Going green is a hot topic in todays environmentally focused world. With pollution
threatening the worlds coral reefs and CO2 emissions damaging the air, a bigger push than ever is
being made towards going green and helping to save the environment. Politi
Why Do Many Economists Support Sweatshops?
The countrys collegiate youth and others seem to be up in arms in assuring the removal
of sweatshops from the face of the Earth. However many economists say that this would be the
-Miller: 1, 2, 32
-MBN: 1, 2, 3, 4, 5, 30, 31
-Haz: The Lesson, The Broken Window, The Blessings of Destruction, Public Works Means
Taxes, Whos Protected by Tariffs?, and The Drive for Exports
-Is America #1
The GE writing requirement will be satisfied by writing FOUR 750- 1,000 word essays
(approximately 3-4 pages each, double-spaced, 12 point font). You must meet the minimum
WORD COUNT for EACH essay.
You will apply economic theory to four topics that I hav
Due May 3, 2017, by Midnight
Please hand in neatly written answers to problems 1 5. Your work can be uploaded to Blackboard by
clicking on the Assignment 3 tab under the Module 3 folder in Course Materials. Instructions for
uploading and sub
Due Sunday, May 21, 2017
Please hand in neatly written answers to all problems by submitting it through the Assignment #4 tab
under Module 4. Show all of your work. Answer all parts to all questions, and provide explanations
Econ 1A. Final Review Questions.
I. Multiple choices (120)
Circle the letter of the one answer that you think is correct or closest to correct.
1. Economics is the study of how people choose
abundance over scarcity.
b. to use limited r
Notes on economic short-run policy.
Two Important Issues:
Short Run Economic Policy what should the government do about the business
cycles (economic fluctuations, recessions and expansions)?
Problems with Short Run Economic Policy why short run policie
Questions on The Monetary System
1. You use U.S. currency to pay the owner of a restaurant for a delicious meal. The currency
a. has no intrinsic value. The exchange is an example of barter.
b. has no intrinsic value. The exchange is not an example of bar
Exam 2 Formulae
Equation of Exchange:
P * Y M * V
1) The economy produces 40 pizzas (real income). There is $200 in money supply. Velocity
is 5. What is the price level?
2) If Velocity fell to 4, what would be the price level?
Inflation =% Mone
For each of the following changes, describe the effect on what is directly connected to the thing that is
1. As Cost of Banking increases, _ will ( increase / decrease )
2. As the Nominal Interest Rate increases, _ will ( incre
Calculations with Inflation
P rices l a t e r
Priceslater = Pricesearlier * (1 + Inflation)
(1 + Inflation)
1. During a recession the economy experiences
a. rising employment and income.
b. rising employment and falling income.
c. rising income and falling employment.
d. falling employment and income.
2. During recessions
a. workers are laid off.
b. factories a
Notes on the Money Market
Section 2 works with a whole new market: the Market for Money. The last section had the
market for loanable funds, which is related to the market for money, but this market is distinct.
For Supply: we have to consider "who" is in
Questions on Unemployment
1.Measuring unemployment is the job of the
a. Congressional Budget Office.
b. Department of Commerce.
c. Council of Economic Advisers.
d. Bureau of Labor Statistics.
2. Unemployment data are collected
a. from unemployment insuran
Midterm Study Guide.
Econ 1b, Foldvary
1. Shortage and surplus of goods.
2. What determines land rent
3. As the price of an input changes, what happens to the supply and demand?
4. Elasticity of demand
6. The law of demand
7. Why prices and quan
Chapter 1: The Economic Approach
What is Economics?
The study of human behavior
Science of common sense
Adam Smith 1776
Wrote An Inquiry into the Nature and Causes of the Wealth of Nations
The Theory of Moral Sentiments as well.
John Maynard Keynes bega
Linking Resource and Product Markets
The production process has three main steps:
1) Purchasing resources (raw materials, labor, tools, machines) from the product market
2) Transforming the resources into products
3) Selling the products to cons
Running head: THE RECURRING ROLE OF COSTS
The Recurring Role of Costs
Jacob J Reyes
San Jose State University
THE RECURRING ROLE OF COSTS
Working thesis statement: Costs play a recurring role in every economic decision
made by consumers a