Economy 2 Flashcards
What does PPF mean
What it is
What does abc / x / y
Production possibility frontier
Shows the scarcity of resources
ABC-Company uses all production factors effectively
X-Ineffective company doesn’t use all production factors
Y-Is impossible to reach now
may be in future
What is opportunity costs
We had to give up something to reach other
card or cash
restaurant or homecooked meal
Name the three main economic subjects
Household
Companies
Government
Household economic subject
Look for a job
place to live
higher amounts for lower prices
Companies economic subject
Look for employees
Country with cheap workforce
Higher amounts for our higher prices
Government economic subject
What are the percentages
Tax real 20%
Estate tax 19%
Income tax
What are the economic statements
1)Positive- focused on fact/ look how it works
2)Normative focused on recommendation
How something ought to be
What is market and what occurs at market
Buyers and sellers meet
Occur market mechanism
demand supply price
Name the typology of market
1)According to the territory
2)According to the object of purchase
3)According to the law
What are the types in the according to the territory
Global -On each continent selling
International-In few states selling
National-One state selling
Regional-Certain region selling
Local-One city selling
What are the types according to the object of purchase
Market of G/S
Market of production factors
Market financial bonds and shares
What are the types according to law
Legal
Illegal (black market)
Shadow no receipt not paying TAX
