F4T1 Mass Revision Flashcards
1
Q
Classification of Outputs of Production/Goods
- Goods & Services
- Economic Goods & Free Goods
- Producer Goods & Consumer Goods
- Public Goods & Private Goods
A
-
Goods & Services
- Goods: Tangible output of production
- Services: Intangible output of production
-
Economic Good & Free Good
- Economic Good: A good which the quantity available is insufficient to satisfy all human wants for it. More of it is preferred.
- Free Good: A good which the quantity is sufficient of satisfy all human wants for it. More of it is not preferred.
-
Producer Good & Consumer Good
- Producer Good: A good bought by firms for the production of goods and services.
- Consumer Good: A good bought by household to directly satisfy (consumer’s) wants.
-
Private Good & Public Good
- Private Good: A good which is rival and excludable in consumption.
- Public Good: A good which is non-rival and non-excludable in consumption.
2
Q
Division of Labour
- Advantages (6)
- Disadvantages (4)
- Limitations (2)
A
Graph
3
Q
Labour Supply
- Factors (2)
A
- Size of Working Population
- Size of labour force (population structure)
- Government Policies (minimum & maximum age, duration of schooling, childcare services, immigration control, importation of labour)
- Number of Working Hours
- Government Policies ( number of public holidays, duration of leave, maximum working hours)
4
Q
Labour Productivity
- Factors (6)
A
Graph
5
Q
Piece Rate, Time Rate and Basic Sallary + Commission Scheme
- Advantages
- Disadvantages
A
Graph
6
Q
Profit Sharing Scheme and Tips
- Advantages
- Disadvantages
A
7
Q
Occupational Mobility
- Factors (4)
A
Graph
8
Q
Geographical Mobility
- Factors (4)
A
Graph
9
Q
Sole Proprietorships & Partnerships
- Common Features (9)
A
Graph
10
Q
Sole Proprietorships & Partnerships
- Distinctive Features (5)
A
Graph
11
Q
Private & Public Limited Companies
- Common Features (6)
A
Graph
12
Q
Private & Public Limited Companies
- Distinctive Features (4)
A
Graph
13
Q
Issuing Bonds VS Shares for companies
- Advantages (3 X 2)
- Disadvantages (2 X 2)
A
Graph
14
Q
Buying Bonds VS Shares for investors
- Advantages (2 X 2)
- Disadvantages (3 X 2)
A
Graph
15
Q
Motives of the 5 types of integration/expansion. (T)
- Horizontal
- Vertical Backward
- Vertical Forward
- Lateral
- Conglomerate
A
Graph
16
Q
- Internal economies of scale (7)
- Internal diseconomies of scale (4)
A
Graph
17
Q
- External economies of scale (4)
- Exteranl diseconomies of scale (3)
A
Graph
18
Q
- Factors affecting elasticity of demand (8)
A
- Availability of close substitute (+)
- Time available to adjust consumption (+)
- Degree of necessity (-)
- Consumption habit (-)
- Proportion of income spent (+)
- Price range (+)
- Durability (+)
- Number of Uses (+)
19
Q
- Factors affecting elasticity of supply (7)
A
- Quantity of good available
- Flexibility in production (+)
- Factor moiblity (+)
- Reserve capacity (+)
- Time required for production (-)
- Time available for adjusting production (+)
- Ease of entry (+)
20
Q
- Factors that changes Demand
A
- Income of consumers
- Normal Good
- Inferior Good
- Prices of related goods
- Substitutes - satisfy same want
- Complements - used together for part. Want
- Derived demand - a factor is a derived demand of a product
- Expectation of future prices
- Number of buyers in the market
- Composition of the population
- Taste or Preference (fashion, advertisement, etc.)
- Others (e.g. weather, govt policy)
21
Q
- Factors that changes Supply
A
- Prices of inputs –> Cost of production
- Prices of related goods
- Joint Supply - prod. of one good generate another
- Competitive Supply - goods require similar factors
- State of technology
- Expectation of future prices
- Number of producers in market (Market demand only)
- Others (e.g. weather, govt policy, labour actions)
22
Q
- Features of Market Structures (per7)
- Perfect Competiton
- Monopolistic Competition
- Oligopoly
- Monopoly
A
Graph
