Chapter 1-3 Corrections Flashcards
1
Q
Coase theorem says
A
private companies manage properties more efficiently
2
Q
The 4 factors of production are
A
land, labor, capital and entrepreneurship
3
Q
What are incentives
A
benefits that encourage people to act a certain way
4
Q
what is utility
A
the benefit or satisfaction gained from use of a product
5
Q
to economize
A
to weigh the cost and benefits of a decision
6
Q
marginal cost
A
the cost of using one or more unit of goods or serves
7
Q
marginal benefits
A
the satisfaction gained from using that unit
8
Q
market
A
an economics system running off self interest in a setting where voluntary exchange is possible
9
Q
The factor market
A
the market for 4 factors of production
