ECO 1104 Chapter Notes - Chapter 1: Invisible Hand, Market Power, Marginal Utility
6 Oct 2017
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ECO 1104 Full Course Notes
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Production maximized due to scarcity: dynamic- market adjusts rapidly due to changing prices, equal distribution of goods and services distribution- generates winners and losers. Ten principles of economics: {1-7 are microeconomic based, 8-10 are macro} [1] people face trade-offs: scarcity- limited resources force us to choose between different alternative, choosing one thing usually means giving up something else that might also have been a good choice, ex. Efficiency- concerned with how much": more is better, regardless of who gets it. Primarily care about how much there is rather than how it is divided up. Starbucks ceo million/year, barista /hour, coffee bean grower /day. Equity- concerned with everyone getting an equal share, regardless of how much there is to go around. Canadian health care system has high wait times, high cost and little incentive to cut cost but every canadian has access to healthcare.
