ECON 2005 Lecture Notes - Lecture 1: Fallacy, Opportunity Cost
Document Summary
Us offers dollar coins for with free shipping. People buy lots and put them in the bank and never use them. People figured out they could get hundreds of thousands of credit card reviews and frequent flyer points at no cost and bought a ton, but never put them in circulation. Ncaa tries to limit head injuries by limiting full contact practices. Both stories are examples of unintended consequences. Effect of a choice that was not the originally intended. People see two things happen together, and assume that a caused b. People assume what is best for an individual is best for a group as a whole. Statistics can be skewed by allowing the study to be opt-in . People who choose to opt in to the study are generally people who are on extreme ends of the spectrum. People have unlimited wants, and limited resources to satisfy them. Limited resources create limited goods and services.
