ECON 1000 Lecture Notes - Lecture 4: Human Capital
CHAPTER ONE REVIEW QUESTIONS
1) I ould rerite this headlie to istead state: “tudy Fids That More People are Investing in
College.
2) To me, the destruction of crops due to bad weather sounds like a fall in the supply of crops and
an increase in the demand for crops.
3) National output fell up to 30% during the Great Depression. The government agency that might
have helped lessen the length and severity of the Great Depression is the Federal Reserve.
4) The tangible object is his or her physical capital. The intangible objects include his or her human
capital, innovation, and efficient organization.
5) I believe that the scientist who gets a percentage of the drug profits has more of an incentive as
they will be making more money, and people always want more money. Getting a simple hand-
shake and a tank you from a boss is nice, but not as nice as what the money could get someone.
6) Specialization and trade helps people avoid boredom and ignorance as most of the work is
already done for them (i.e. attaining to and growing a crop to make bread) and all that they
would need to do to get the bread is to go to the store and purchase it.
1) According to what I learned, the government can prevent overproduction of money and/or stop
the production completely.
2) A. The people who used to work on farms either still work on them or has found other work. I
dot eliee that ost of the ueployed adult ale populatio is ueployed eause the
machines took their farm work.
B. Well, lookig aroud here i Coetiut, I dot see any of my neighbors finding jobs fixing
farm equipment. I believe that there are more jobs now that machines take the work from
people as we hire people to think up the machines, we hire people to build them, we hire
people to distribute them, and we hire people to fix them should they break, whereas we would
only hire one person to do the work of the machine. If you look at the ratio, having machines
work instead of people may be better.
3) A country could NOT get richer by printing more money, as we saw with Zimbabwe. Poor
outries are poor eause they hae iested rog, dot hae eough atural resoures to
sell, etc. There are numerous reasons as to why a country is poor.
4) This applies to central banking as central bankers work on their predictios ad dot ake
huge adjustments on how things are at the present time.
5) The fractions of humans that are poor have definitely fallen since one thousand years ago.
This is due to the introductions of more medical procedures and modern technology. The total
number of people living in deep poverty has also fallen as well, due to the same reasons.
1) I y opiio, I dot thik that the eooists ould hae agreed to that stateet as e gaied
more knowledge of their understanding of how things worked by looking in the past and knowing that
they could have utilized certain things at their disposal to change the outcome. My answer tells me that
the confidence in economists have definitely risen from the times of the Great Depression as they know
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Document Summary
Chapter one review questions: i (cid:449)ould re(cid:449)rite this headli(cid:374)e to i(cid:374)stead state: (cid:862) tudy fi(cid:374)ds that more people are investing in. College(cid:863): to me, the destruction of crops due to bad weather sounds like a fall in the supply of crops and an increase in the demand for crops, national output fell up to 30% during the great depression. The government agency that might have helped lessen the length and severity of the great depression is the federal reserve: the tangible object is his or her physical capital. The people who used to work on farms either still work on them or has found other work. I do(cid:374)(cid:859)t (cid:271)elie(cid:448)e that (cid:373)ost of the u(cid:374)e(cid:373)ployed adult (cid:373)ale populatio(cid:374) is u(cid:374)e(cid:373)ployed (cid:271)e(cid:272)ause the machines took their farm work: well, looki(cid:374)g arou(cid:374)d here i(cid:374) co(cid:374)(cid:374)e(cid:272)ti(cid:272)ut, i do(cid:374)(cid:859)t see any of my neighbors finding jobs fixing farm equipment.
