Card Set Information
used for my 1st test in Econ
What is Economics?
The social science that studies the allocation of scarce resources for the creation, distribution, and consumption of goods and resource.
What are the Laws of Diminishing returns?
The saw states the continuous increase of one input factor while holding the other input factors fixed to a decrease in the per unit output of the variable input factor.
What are the Factors of Production of resources?
Land, Labor, Capital, Entrepreneur, and Technology
Supply is a relationship between various quantities of goods and services producers are willing and able to produce at various prices.
What is the Law of Supply?
Producers are willing and able to produce more goods and services at higher prices (Total Revenue = Price x Quantity.
name the Six (6) Non-Price determinants that cause shifts in Supply:
Technology, Factor Cost, Opportunity Cost, Taxes and Subsidies, Expectations, and the Number and size of producers in the market
Demand is the relationship between various quantities of goods and services consumers are able and willing to purchase at various prices.