Econ Concepts
This is the study of meeting unlimited, competing wants with limited resources
Economics
These are the two types of goods, categorized by how they are used.
Consumer and Capital Goods
With the advent of digital streaming services like Netflix, movies and TV shows are now available whenever the customer desires them most. This appeals most to this type of economic utility.
Time Utility
Demand is created when enough people desire something, and also have the money to get it. This second component of demand is commonly referred to as this.
Buying Power
In 1983, this artist released the album "Thriller," which became the best-selling album of all time.
Michael Jackson
This economic term refers to the fact that all resources are limited in quantity, unlike consumers' desires.
Scarcity
Everyday items like eggs or over-the-counter medicine that are readily available and usually require minimal effort/thought when purchasing are often categorized as this type of consumer product.
Convenience Products
The strategic placement of a gas station near a busy highway illustrates the concept of this economic utility.
Place Utility
According to the law of demand, a decrease in the price of ice cream would likely have this effect on the quantity demanded.
An increase in Quantity Demanded
This tech giant, known for its search engine, also developed the popular mobile operating system Android.
This economic concept represents the value of the benefits you may give up when choosing among alternatives.
Opportunity Cost
When consumers compare features, prices, and quality among different products before making a purchase, they are likely evaluating this type of consumer product.
Shopping Goods
A product's website contains detailed specifications and customer reviews that potential buyers can read through to help inform their decision to buy. These features contribute to this type of economic utility.
Information Utility
In Bikini Bottom, there is an oversupply of jellyfishing nets, leading to a buyer's market condition. This implies that the price for nets in Bikini Bottom will change in this way.
Prices will decrease
Often referred to as "Factors", these are four resources every business needs to produce goods and services.
1. Natural Resources
2. Human Resources
3. Capital Goods
4. Entrepreneurs
If you purchase a computer for personal use to enjoy gaming and entertainment, it is considered a consumer good. However, if the same computer is purchased by a law firm to keep track of clientele data, it would be described as this type of capital product.
Equipment
The thrill that someone receives when driving a luxury car showcases the concept of this economic utility.
Possession Utility
The Law of Demand states that when the price for a good goes up, the quantity demanded goes down. This is known as this type of relationship.
Inverse Relationship
In 2018, this film became the highest-grossing superhero movie in the United States, and later spawned a 2022 sequel despite the death of its leading actor
Black Panther
Economic wants can be described in these three different ways.
1. Unlimited
2. Prone to Change
3. In competition with one another
A piece of iron ore is refined into steel. The steel is then molded into a metal bolt. The bolt is then fastened to a large stationary machine in a car factory. Throughout this piece of metal's lifespan, it has been part of these three different types of capital products.
Iron ore: raw material
steel bolt: part
stationary machine: installation
Economic utility can vary in these 3 different ways.
1. From person to person
2. From business to business
3. Over time
A key ingredient for the Krabby Patty secret formula has become increasingly scarce recently. This seller's market condition indicates a certain level of supply and demand, and Mr. Krabs is likely to change the prices of Krabby Patties as a result. Supply, Demand, and prices will be affected in this way.
1. Supply will be low
2. Demand will be high
3. Mr. Krabs will raise prices
In 2020, this South Korean film, directed by Bong Joon-ho, made history by winning four Academy Awards, including Best Picture.
Parasite