Fundamentals of economics
Download
1 / 28

FUNDAMENTALS OF ECONOMICS - PowerPoint PPT Presentation


  • 70 Views
  • Uploaded on

The Assignment Help website has a cohesive, easy to navigate design. Assignmenthelp.net is truly valuable for students of all grade levels across abundant fields of study.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'FUNDAMENTALS OF ECONOMICS' - guest76422


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript

Slide2 l.jpg

  • Economics is

    the study of how we can best increase a country’s wealth with the resources that we have available to us.


Slide3 l.jpg

  • Marginal Benefit

    is the additional satisfaction or value one obtains from an activity or product.

  • Marginal Cost

    is the additional cost or sacrifice one makes of participating in an activity or purchasing a product.


Slide4 l.jpg

  • Economic Decision-Making

    You decide to participate in an activity (going to college, buying something, etc.) as long as your marginal benefit exceeds your marginal cost.


Slide5 l.jpg


Slide6 l.jpg

GUNS

E

600

C

F

500

B

400

G

A

300

D

ROSES

350

500

580

700


Slide7 l.jpg

  • Economic Growth

    If an economy is operating at a point on the production possibilities curve, all resources are used, and they are utilized as efficiently as possible.

GUNS

E

600

C

F

500

B

400

G

A

300

D

ROSES

350

500

580

700


Slide8 l.jpg

Increases in Resources

Advances in Technology


Slide9 l.jpg

  • Your Own Personal PPC

    If two possible outcomes in your own personal life are job earnings and educational credits, then your PPC looks as follows:

Job earnings

E

30000

C

F

23000

B

16000

G

A

12000

D

College credits

23

10

30

18


Three economic systems are l.jpg
Three Economic Systems are:

  • Capitalism

  • Communism

  • Socialism


Slide11 l.jpg

  • Capitalism Characteristics

  • The role of the government is limited to the most essential functions.

  • All prices are determined in the free market (supply and demand).


Slide12 l.jpg

  • Communism Characteristics

  • Government makes all decisions regarding production, prices, wages, interest rates, and income distribution.


Slide13 l.jpg


Slide14 l.jpg

  • Economic Growth and Economic Systems

  • Countries with the highest overall economic standard of living have the freest markets (more elements of capitalism).

  • Examples: Hong Kong, the United States, Japan, Taiwan, Great Britain, Canada, Sweden, South Korea, and Singapore.


Slide15 l.jpg

  • Economies around the World

    Most industrialized countries are mixed economies, but they also have many capitalist elements. Characteristics include

  • Substantial activity in the private sector (businesses and households). Prices are determined by demand and supply.

  • A significant role by federal and local governments.


Slide16 l.jpg

  • The Role of Government

    The role of most governments around the world includes:

    • Spending on defense, roads, legal system, public services and education

    • Redistributing incomes through taxes and subsidies

    • Passing laws and imposingregulations

    • Implementing price controls

    • Conducting monetary policyto affect inflation,interest rates, and employment


Slide17 l.jpg

  • Important Concepts and Definitions

    We will discuss the following concepts:

  • The simple circular flow

  • The circular flow with government and foreign markets

  • Nominal and real prices and incomes

  • Positive and normative economic statement

  • The fallacy of composition

  • The fallacy of cause and effect


Slide18 l.jpg

The Simple Circular Flow

Supply of Products

ProductsMarket

Purchases of (Demand for) Products

Households

Businesses

Supply of Labor and Resources

Resource(Inputs) Market

Purchases of (Demand for) Labor and Resources


Slide19 l.jpg


Slide20 l.jpg

Foreign next slide). This is a more complex (more realistic) model.Markets

Supply of Products

ProductsMarket

Purchases of Products

Products

Services

Services

Government

Households

Businesses

Taxes

Taxes

Resource(Inputs) Market

Supply of Labor and Resources

Purchases of (Demand for) Labor and Resources


Slide21 l.jpg

  • Nominal and Real Prices next slide). This is a more complex (more realistic) model.

  • Nominal prices are expressed in current dollars.

  • Real prices are adjusted for inflation.

Enough money to purchase

3 gallons of gasoline a

few years ago. Not enough to purchase 2 gallonstoday.


Slide22 l.jpg


Slide23 l.jpg


Slide24 l.jpg

  • The Fallacy of Composition Statement?

  • Fallacy: what is good for one person (or one group) is good for all persons (or all groups).


Slide25 l.jpg


Slide26 l.jpg


Slide27 l.jpg

  • Critical Thinking Guidelines Statement?

  • Question the source.

  • Question the assumptions.

  • Question how the variables are defined.

  • Question the validity ofthe statement.

  • Question the statistics.

  • Think like an economist.


Slide28 l.jpg

For Statement? further Info :

http://www.assignmenthelp.net

+1-617-874-1011 (USA)

+44-117-230-1145 (UK)

+61-7-5641-0117 (AUS)

[email protected]

http://www.assignmenthelp.net/rss.xml

http://assignmenthelp.

net/AssignmentHelp Podcasts/Poderator.xml.


ad