[ECON 200] - Final Exam Guide - Comprehensive Notes for the exam (58 pages long!)
![ECON 200 Full Course Notes](https://new-docs-thumbs.oneclass.com/doc_thumbnails/list_view/2213322-class-notes-us-u-of-washington-econ-200-lecture6.jpg)
22
ECON 200 Full Course Notes
Verified Note
22 documents
Document Summary
Econ 200 i lecture 2 ten principles of economics. Economics is based on the fundamental statement that resources are scarce: scarcity: society has limited resources and therefore cannot fulfill all human wants and needs. The goods must be desirable: limited: an objective finite supply. The goods can be desirable of undesirable: basically, scarce is limited and desirable. Economics is the study of how society manages its scarce resources: ex. How people make decisions - micro: people face trade-offs. To get one thing, you must give up another: ex. How you spend your time studying: ex. How a family decides to spend its income: ex. How the us government spends tax dollars: ex. How regulations may protect the environment at a cost to firm"s owners. Efficiency vs. equality: efficiency: society gets maximum benefits from scarce resources (size of economic pie, equality: prosperity is distributed uniformly among society members (how economic pie is sliced)