M1-L1: Nature of Economics Flashcards
Study of the entire health care economy.
Macroeconomics
Study of the individual units of health care economy.
Microeconomics
Tangible products.
Goods
Intangible Products
Services
Provides direct satisfaction.
Consumer Goods
Use to produce other goods.
Capital Goods
Things that we can live without (nonessential).
Luxury Products
Things that we cannot live without (essential).
Basic Products
Has attached value (market price).
Economic Goods
Free, for everybody’s consumption.
Non-economic Goods
Provided for by the government.
Public Goods
Produced by businessmen/ entrepreneurs.
Private Goods
Individuals who purchase and use the finished products.
Consumers
Manufacturers and sellers of finished products.
Producers
Regulates the actions of consumers and producers.
Government
Buyer of excess products and seller of limited products.
International Market
Natural resources.
Land
Payment for the use of land.
Rent
Human resources.
Labor
Payment for labor.
Wage/Salary
Machines and equipment (man-made).
Capital
Payment for the use of capital.
Interest/Depreciation
Person who combines the other economic resources.
Entrepreneur
Return of investment.
Profit
Very primitive, very backward, does not allow change.
Traditional Economy
The government owns/controls the economic resources.
Command Economy
Resources are privately owned and decisions are made by the people.
Market Economy
