ECO 201 Study Guide - Comprehensive Final Exam Guide - Compact Cassette, Magnetic Resonance Imaging, Coffee
Document Summary
Opportunity cost: what you give up to get something. (if there is more than one opportunity you give up, the opportunity cost is the highest-valued alternative). A friend offers you to clean her room. (if you clean her room, you can"t clean yours. But, you know someone who will clean your room for ) *if you did not go to mu, you should pay ,000 in rent and ,000 for food. *you took a loan @10% interest rate for tuition. Command: government decides what will be produced, how it will be produced, who gets the produced goods. Market based economy: interactions of individuals and firms in market determine what and how will be produced and who gets the produced goods. Statements of opinion: such as (cid:862)0% of americans should be uninsured(cid:863). Is a line or curve that shows the various combinations of output the economy can produce given the available resources and the existing production technology.
