ECON 1000- Final Exam Guide - Comprehensive Notes for the exam ( 54 pages long!)

• School: York University
• Department: Economics
• Course: ECON 1000
• Professor: Gordana Colby

Document Summary

Chapter 1: what is economics: all economic questions arise because we want more than we can get. (demand exceeds supply at. Price = 0: scarcity: inability to satisfy all our (individual/collective) wants, scarcity mandates choices. What, how, for whom: goods and services: the s(cid:272)a(cid:396)(cid:272)e (cid:862)thi(cid:374)gs(cid:863) that (cid:449)e (cid:449)a(cid:374)t a(cid:374)d that (cid:396)e(cid:395)uire scarce resources to produce, what: what we produce changes over time. Service jobs are greater than agriculture: how: goods and services are produced by using productive resources that economists call factors of production, factors of production are grouped into four categories: Labour (time and effort people devote to producing goods and services: human capital: knowledge/skill people obtain from education/experience capital: tools, machines, buildings that businesses use to create capital. Entrepreneurship (human resource that organizes labour, land, capital: for whom: in a market economy who gets the goods and services depends on the incomes that people earn. Labour earns wages: capital earns interest, entrepreneurship earns profit.