chapter 1 ten principles of economics ppt
Ten Principles of Economics - Part 1
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08/11/2013, 00:15
... ideas. In the rest of this chapter, we look at Ten Principles of Economics.
These principles recur throughout this book and are introduced here to give you
an overview of what economics is all ... raise its profits by
opportunity cost
whatever must be given up to obtain
some item
marginal changes
small incremental adjustments to a
plan of action
CHAPTER 1 TEN PRINCIPLES OF ECONOMICS 7
thinking ... overall
economy
CHAPTER 1 TEN PRINCIPLES OF ECONOMICS 9
side wins and the other side loses. In fact, the opposite is true: Trade between two
countries can make each country better off.
To see why,...
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Tài liệu Ten Principles of Economics - Part 5 ppt
Ngày tải lên :
15/12/2013, 11:15
... discussed in
Chapter 2, a production possibilities frontier shows the various mixes of output
that an economy can produce. It illustrates one of the Ten Principles of Economics in
Chapter 1: People ... I’ll produce 24 pounds of meat and 2 pounds of
potatoes. After I give you 3 pounds of meat in exchange for 1 pound
of potatoes, I’ll have 21 pounds of meat and 3 pounds of potatoes. In
the end, ... to see in the case of babies and mini-
vans. Couples often buy a minivan in anticipation of the birth of a child. The
Violent
Crimes
(per 1, 000
people)
Police Officers
(per 1, 000 people)
0
Figure...
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Tài liệu Ten Principles of Economics - Part 7 pptx
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15/12/2013, 11:15
... ϩ 3)
Price of
Ice-Cream
Cone
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19
Quantity of
Ice-Cream Cones
$3.00
1. 50
2.00
2.50
1. 00
0.50
؍
Figure 4-2
M
ARKET
D
EMAND AS THE
S
UM
OF
I
NDIVIDUAL
D
EMANDS
. ... sum of the quantities
demanded by all the buyers.
P
RICEOF
I
CE
-C
REAM
C
ONE
C
ATHERINE
N
ICHOLAS
M
ARKET
$0.00 12 ϩ 7 ϭ 19
0.50 10 6 16
1. 00 8 5 13
1. 50 6 4 10
2.00 4 3 7
2.50 2 2 4
3.00 0 1 1
... of
Ice-Cream Cones
$3.00
1. 50
2.00
2.50
1. 00
0.50
0
12 345678 910 111 2
Quantity of
Ice-Cream Cones
$3.00
1. 50
2.00
2.50
1. 00
0.50
؉
demand curve
a graph of the relationship between
the price of a good and...
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Tài liệu Ten Principles of Economics - Part 10 ppt
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... Elastic
54 20
22 40 1. 8 Elastic
46 24
29 29 1. 0 Unit elastic
38 24
40 22 0.6 Inelastic
210 20
67 18 0.3 Inelastic
11 2 12
200 15 0 .1 Inelastic
014 0
C
OMPUTING THE
E
LASTICITY OF A
L
INEAR
D
EMAND
C
URVE
N
OTE
: ... elasticity of demand ϭ .
(Q
2
Ϫ Q
1
)/[(Q
2
ϩ Q
1
)/2]
(P
2
Ϫ P
1
)/[(P
2
ϩ P
1
)/2]
CHAPTER 5 ELASTICITY AND ITS APPLICATION 10 3
Income elasticity of demand ϭ .
As we discussed in Chapter 4, ... quantity demanded.
5
6
$7
4
1
2
3
Quantity
12 246 810 14 0
Price
Elasticity is
larger
than 1.
Elasticity is
smaller
than 1.
Figure 5-5
AL
INEAR
D
EMAND
C
URVE
.
The slope of a linear demand
curve is...
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Tài liệu Ten Principles of Economics - Part 57 pptx
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15/12/2013, 11:15
... labor-force participation
rate of various groups in the
U.S. population for 19 98.
10
8
6
4
2
0
19 70 19 7 519 60 19 65 19 80 19 85 19 90 2000
Percent of
Labor Force
19 95
Natural rate of
unemployment
Unemployment ... government
10 0
80
60
40
20
0
19 50 19 55 19 60 19 65 19 70 19 75 19 80 19 85 19 90 19 95 '98
Labor-Force
Participation
Rate (in percent)
Women
Men
Figure 26-3
L
ABOR
-F
ORCE
P
ARTICIPATION
R
ATES FOR
M
EN AND
W
OMEN
SINCE
19 50. ... 64.8
T
EENAGERS
(
AGES
16 19 )
White, male 14 .1 56.6
White, female 10 .9 55.4
Black, male 30 .1 40.7
Black, female 25.3 42.5
S
OURCE
: Bureau of Labor Statistics.
Table 26 -1
T
HE
L
ABOR
-M
ARKET
E
XPERIENCES OF
V
ARIOUS
D
EMOGRAPHIC
G
ROUPS
.
This...
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Tài liệu Ten Principles of Economics - Part 59 pptx
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... March 29, 19 84,
p. A1.
IN THE NEWS
Money on the Island of Yap
M
ONEY ON THE
I
SLAND OF
Y
AP
: N
OT EXACTLY
POCKET CHANGE
CHAPTER 26 UNEMPLOYMENT AND ITS NATURAL RATE 603
1. The Bureau of Labor ... the price of a shirt is 10 ham-
burgers and the price of a hamburger is 1/ 10 of a shirt, prices are never quoted in
this way. Similarly, if you take out a loan from a bank, the size of your future ... surplus of
workers, it might seem profitable to reduce the wage it is offering. But by reducing
the wage, the firm induces an adverse change in the mix of workers. In this case,
at a wage of $10 ,...
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Tài liệu Ten Principles of Economics - Part 62 ppt
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15/12/2013, 11:15
... Poland
10 0,000,000,000,000
1, 000,000
10 ,000,000,000
1, 000,000,000,000
10 0,000,000
10 ,000
10 0
10 0,000
10 ,000
1, 000
10 0
19 2 519 2 419 2 319 2 219 21
Money supply
Money
supply
Price level
10 0,000
10 ,000
1, 000
10 0
19 2 519 2 419 2 319 2 219 21
192 519 2 419 2 319 2 219 21
Price level
Money
supply
Index
(Jan. 19 21 = 10 0)
10 0
10 ,000,000
10 0,000
1, 000,000
10 ,000
1, 000
19 2 519 2 419 2 319 2 219 21
Figure ... level
Index
(Jan. 19 21 = 10 0)
Index
(July 19 21 = 10 0)
(c) Germany
Price level
1
Index
(Jan. 19 21 = 10 0)
(d) Poland
10 0,000,000,000,000
1, 000,000
10 ,000,000,000
1, 000,000,000,000
10 0,000,000
10 ,000
10 0
10 0,000
10 ,000
1, 000
10 0
19 2 519 2 419 2 319 2 219 21
Money ... essence of the quantity theory of money.
Indexes
(19 60 = 10 0)
1, 500
1, 000
500
0
19 60 19 65 19 70 19 75 19 80 19 85 19 90 19 95 2000
Velocity
M2
Nominal GDP
Figure 28-3
N
OMINAL
GDP,
THE
Q
UANTITY OF
M
ONEY
,...
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Tài liệu Ten Principles of Economics - Part 15 ppt
Ngày tải lên :
24/12/2013, 17:15
... property of a resource allocation
of maximizing the total surplus
received by all members of society
equity
the fairness of the distribution of
well-being among the members of
society
CHAPTER ... surplus of all sellers.
Quantity of
Houses Painted
Quantity of
Houses Painted
Price of
House
Painting
500
800
$900
0
Supply
600
12 34
(b) Price = $800
Price of
House
Painting
500
800
$900
0
600
12 34
(a) ... composed of two parts. First, those buy-
ers who were already buying Q
1
of the good at the higher price P
1
are better off be-
cause they now pay less. The increase in consumer surplus of existing...
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Tài liệu Ten Principles of Economics - Part 17 ppt
Ngày tải lên :
24/12/2013, 17:15
... revenue.
This chapter has shed some light on how high the price of civilized society can
be. One of the Ten Principles of Economics discussed in Chapter 1 is that markets are
usually a good way to organize ... Street Journal, May 5, 19 99,
p. A22.
IN THE NEWS
How to Be Master
of the Universe
CHAPTER 8 APPLICATION: THE COSTS OF TAXATION 16 9
◆ Some families have second earners—often married women with ... to fall.
CHAPTER 8 APPLICATION: THE COSTS OF TAXATION 17 1
the optimum—equals the area of the triangle between the supply and demand
curves. For the small tax in panel (a), the area of the deadweight...
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Tài liệu Ten Principles of Economics - Part 18 ppt
Ngày tải lên :
24/12/2013, 17:15
... the losses of the losers.
Now that we have completed our analysis of trade, we can better understand one
of the Ten Principles of Economics in Chapter 1: Trade can make everyone better off.
If Isoland ... importer of a good, domestic
consumers of the good are better off, and domestic producers of the good are
worse off.
◆ Trade raises the economic well-being of a nation in the sense that the gains of
the ... the gains from trade.
CHAPTER 9 APPLICATION: INTERNATIONAL TRADE 18 1
After reviewing supply and demand in their favorite textbook (this one, of course),
the Isolandian economics team begins its...
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Tài liệu Ten Principles of Economics - Part 20 ppt
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24/12/2013, 17:15
... PART FOUR THE ECONOMICS OF THE PUBLIC SECTOR
Markets do many things well, but they do not do everything well. In this chap-
ter we begin our study of another of the Ten Principles of Economics: ... that society derives from that mar-
ket. This insight is the basis for one of the Ten Principles of Economics in Chapter 1:
Markets are usually a good way to organize economic activity. Should we ... lower trade
barriers of their own accord not only
profit themselves, but also often induce
the laggards to match their example. The
most potent force for the worldwide
freeing of trade, then, is...
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Tài liệu Ten Principles of Economics - Part 23 ppt
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24/12/2013, 17:15
... in 19 16, the admission
price to Yellowstone for a family of five
arriving by car was $7.50; today, the
price is only $10 . Had the 19 16 price
been adjusted for inflation, the compara-
ble 19 95 ... invention of a better battery, can be
patented. The inventor thus obtains much of the benefit of his invention, although
certainly not all of it. By contrast, a mathematician cannot patent a theorem; ... The New York Times, September 30,
19 95, p. 19 .
IN THE NEWS
Should Yellowstone
Charge as Much as
Disney World?
CHAPTER 11 PUBLIC GOODS AND COMMON RESOURCES 2 31
In some cases, however, lighthouses...
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Tài liệu Ten Principles of Economics - Part 24 pptx
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... government
19 02 19 22 19 2 719 13 19 4 019 32 19 70 19 80 19 90 19 9 819 50 19 60
Figure 12 -1
G
OVERNMENT
R
EVENUE AS A
P
ERCENTAGE OF
GDP. This figure shows revenue of the
federal government and of state and ... BILLIONS
)
PER
P
ERSON OF
S
PENDING
Social Security$ 393 $1, 445 23%
National defense 277 1, 018 16
Income security243 893 14
Net interest 227 835 13
Medicare 205 754 12
Health 14 3 526 8
Other 239 879 14
Total $1, 727 ... 33.7
Germany29.4
Brazil 19 .7
United States 19 .3
Canada 18 .5
Russia 17 .4
Pakistan 15 .3
Indonesia 14 .7
Mexico 12 .8
India 10 .3
S
OURCE
: World Development Report 19 98/99.
242 PART FOUR THE ECONOMICS OF THE PUBLIC...
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