Chapter 123 Video
Concave to the origin = Bow out from two axes meets
Pick low-hanging fruit= easy picking
1.Scarcity = Trade off
2.Law of increasing opportunity cost
3.A perfectly efficient economy produces on the curves/frontier, instead of inside it
1934 25% 1943 1.5%
4.Economic growth means pushing the frontier

Specialization
Division of labor
Price - Quantity P vertical Q horizontal
Equilibrium - Supply Up meet Demand down/descends - invisible hand


0823
Example mi&ma
Microeconomics - How imports and exports affect one market
Microeconomics - Total imports and exports and how they affect the economy
Economic - study of how individuals and society’s allocate scarce resources among many competing uses.

Resources
A resource is any item that is used to produce goods and services
Land - all natural resources
Labor - all physical and mental activity devoted to producing goods and services
Capital - the tools, machinery, infrastructure, and knowledge used to produce goods and services
Entrepreneurial Ability - the talent or ability to combine land, labor, and capital to produce goods and services.

Resources are the foundation for all human actions.
How resources are used is one of the most important issues any society faces
Every person’s and every society’s standard of living depends on the choice they make about how to use their resources
Our problem is that resources are scarce

Scarcity
Condition in which wants are hereafter than the limited resources available to satisfy those want
Scarcity will always exist
Scarcity affects every one
Relative scarcity compares the scarcity of one thing relative to that of another
Scarcity forces us to make choices about how we allocate our resource

Economics provides the tools that describe how people make choices when faced with scarcity
By mastering the tools of economics, you will gain insight into what drives decision making by individual, businesses, and governments
Knowing how and why choices are made gives you the ability to influence and shape your world.