ECON 1050 Study Guide - Midterm Guide: Inferior Good, Price Ceiling, Demand Curve

• School: University of Guelph
• Department: Economics
• Course: ECON 1050
• Professor: Eveline Adomait

Document Summary

Economics - the social science that studies the choices individuals, businesses, governments, and entire societies make as they cope with scarcity and the incentives that influence these choices. Microeconomics - the study of the choices that individuals and businesses make, the way these choices interact with markets, and the influence of governments. Macroeconomics - the study of the performance of the national and global economy. Incentive - a reward that encourages an action or a penalty that discourages one. Factors of production - the resources used to produce goods and services. Social interest - what is best for society. Resource use is considered efficient if there is no way to make someone better off without making someone else worse off at the same time. Four of the main issues currently in economics. Globalization - the expansion of international trade, borrowing, lending, and investment. Information-age monopolies - technological change of the past 40 years has been called the (