Into to Macro

 A, Macroeconomics- study of economy as a whole
International trade
wage laws
inflation
B. Microeconomics- study of individual or specific units of the economy.
Supply and demand
market structure
Business organizations.
C. Positive economics- attempts to describe the world as is. very descriptive.
Collects: presents facts
“what is”
D. Normative Economics- attempts to prescribe how the world should be. Prescribe in nature.
“Ought to be”
“should be” (opinion based)
E. Needs- Basic requirement for survival
Food
water
Shelter
Clothing
F. Wants- Desires of Citizens
G. Goods – Tangible commodities
Capital goods ( used in creation of other goods)
Consumer goods ( intended for final use by consumer)
Services- work that is preformed for someone
Scarcity – Not fundamental economic problem that all societies face.
Shortage -quantity demanded is greater than quality supply
Factor of Production
Land-natural resources
Labor- work force
Capital- a) human ( skills) b) physical (tools machinery factory.
Entrepreneurship- Innovative and risk taker.