Introduction
Free Market/Free Enterprise
Types of Consumer
Economic System
Principles of Economics
1
Something needed to survive
Needs
1
A relationship between the seller of a resources and the buyers for that resources
Supply & Demand
1
it is a Customer satisfaction that the customers back to your business
Loyal customer
1
It is a summary term for an array of exchanges that takes place in society.
Free Market
1
This encompasses a wide variety of economic laws and theories
Principles of Economics
2
State of being short supply
Scarcity
2
Rapid evolution of the manufacturing production system
Industrial Capitalism
2
They are usually considering multiple options and They often ask questions and respond best to good customer service
Potential customer
2
It is an economic system in which private individuals or businesses own capital goods.
capitalism
2
How many are there in the principles of economics according to Gregory Mankiw?
10
3
Defined as "All those man-made goods which are used in further production of wealth"
Capital
3
can lead to devastating outcomes such as unemployment, homelessness, and lost income.
market failures
3
Customers that shop frequently but base buying decisions primarily on markdowns
Discount customer
3
For who are goods/services produced?
Consider distribution of income (rich v. poor)
3
A special example of a this is the trade-off between efficiency and equality
People face trade-offs
4
Economy's ability to produce a particular good or service at a lower opportunity cost than its trading partners.
Comparative Advantage
4
Rapid evolution of the manufacturing production system
Industrial Capitalism
4
They like to be correct; and feel their point of view is the one that matters.
Impulsive Customer
4
How should goods/services be produced?
Technology, human resources, both
4
What are the 3 principles of decision making?
informed consent
best interest
substituted judgment
5
Give 3 factors which are affected by Demand-Supply
Price
Consumer's Income
Price of related goods
Taste and Preference of customer
Consumer's Expectation
Number of consumers in the market
5
Give at least two major elements of free market
Private property rights
profit motive
equal individual rights
unrestricted competition
5
driven by the need for a specific product or service. they find what they're seeking, they're easily lured away by competing businesses.
Need Based Customer
5
Give the four (4) types of economic system
traditional economic system
command economic system
market economic system
mixed system.
5
Enumerate the 5 Basic Principles of Economics
1. Opportunity cost
2. Marginal principle
3. Law of diminishing returns
4. Principle of voluntary returns
5. Real/nominal principle