Chap1 Principles Of Economics
UBEA 1013 ECONOMICS
Ms. Siti Rohaya Mat Rahim
Consultation Hours:
Monday : 10 am - 12 pm
Thursday: 2 pm - 4pm
Room : H203
Email: rohaya@utar.edu.my
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Christopher Sims, Nobel Laureate in Economics, 2011.
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Economics, at its best, is a set of ideas and methods for the improvement of society. It is not, as so often seems the case today, a set of ideological rules for asserting why we cannot face the challenges of stagnation, job loss and widening inequality.
CHAPTER 1:
ECONOMICS
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CHAPTER OUTLINE
1.1 Why Study Economics?
1.2 Economics Defined
1.3 The Scope of Economics
1.4 Scarcity, Choices & Opportunity cost
1.5 Basic Economic Problems
1.6 Production Possibility Frontier (PPF)
1.6 Economic System
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1.1 WHY STUDY ECONOMICS?
To
learn a way of thinking
To understand the society
To understand global affairs To be an informed voter
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1.2 ECONOMIC DEFINED
a) K.E. Case and R. C. Fair view that economics is a study of how people use their limited resources to try to fulfill unlimited wants and involves alternatives or choices. b) David N. Hyman defined economics as a study of how scarce resources are allocated among alternative uses
c) Economics is a science that studies human behavior as a relationship between ends and scarce, which have alternative uses, according to L. Robbins
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1.3 THE SCOPE OF ECONOMICS
Microeconomics deals with individual units; a household, a firm and an industry. Studies the interrelationship between these units to determine the pattern of distribution of goods and services.
Macroeconomics looks at the economy as a whole. Its deal with the economic behavior of aggregates; national output, overall price level, inflation, unemployment.
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Branch of Economics
urban
and regional economics
econometrics
finance
comparative
economic systems
economic development
labor economics
international economics
public economics
economic history
law and economics
the
history of economic thought
Ms. Siti Rohaya Mat Rahim
Consultation Hours:
Monday : 10 am - 12 pm
Thursday: 2 pm - 4pm
Room : H203
Email: rohaya@utar.edu.my
1
2
3
4
Christopher Sims, Nobel Laureate in Economics, 2011.
5
Economics, at its best, is a set of ideas and methods for the improvement of society. It is not, as so often seems the case today, a set of ideological rules for asserting why we cannot face the challenges of stagnation, job loss and widening inequality.
CHAPTER 1:
ECONOMICS
6
CHAPTER OUTLINE
1.1 Why Study Economics?
1.2 Economics Defined
1.3 The Scope of Economics
1.4 Scarcity, Choices & Opportunity cost
1.5 Basic Economic Problems
1.6 Production Possibility Frontier (PPF)
1.6 Economic System
7
1.1 WHY STUDY ECONOMICS?
To
learn a way of thinking
To understand the society
To understand global affairs To be an informed voter
8
1.2 ECONOMIC DEFINED
a) K.E. Case and R. C. Fair view that economics is a study of how people use their limited resources to try to fulfill unlimited wants and involves alternatives or choices. b) David N. Hyman defined economics as a study of how scarce resources are allocated among alternative uses
c) Economics is a science that studies human behavior as a relationship between ends and scarce, which have alternative uses, according to L. Robbins
9
1.3 THE SCOPE OF ECONOMICS
Microeconomics deals with individual units; a household, a firm and an industry. Studies the interrelationship between these units to determine the pattern of distribution of goods and services.
Macroeconomics looks at the economy as a whole. Its deal with the economic behavior of aggregates; national output, overall price level, inflation, unemployment.
10
Branch of Economics
urban
and regional economics
econometrics
finance
comparative
economic systems
economic development
labor economics
international economics
public economics
economic history
law and economics
the
history of economic thought