Economics Final Project :explode: (Chapter 7 (Monopoly and Duopoly - Power…
Economics Final Project :explode:
Monopoly and Duopoly - Power comes from a firms ability to set prices. Duopoly comes from two firms.
Externalities - A side effect or consequence of an industrial or commercial activity that affects other parties without this being reflected in the cost of the goods or services involved.
Public Goods - A commodity or service that is provided without profit to all members of a society, either by the government or a private individual or organization.
Durable vs. non - durable - Non durable good is defined as a product that lasts 3 years or less, while durable goods are those that last greater than 3 years.
Price Discrimination - The action of selling the same product at different prices to different prices to different buyers, in order to maximize sales and profits.
Anti-Trust Laws - Is a collection of federal and state government laws that regulates the conduct and organization of business corporations, generally to promote Fair Competition for the benefit of consumers.
Commodity Stranded - Not long ago, america's monetary system was built on a commodity standard, where the value of currency depended on a fixed exchange rate between money and a single good or a basket of goods.
Fiat Money - Incontrovertible paper money made legal tender by a government decree.
Gold Stranded - The system by which the value of a currency was defined in terms of gold, for which the currency could be exchanged.
misery index talks about
rates and inflation :explode:
international trade advantages and disadvantage advantages is helps country with natural resource
COMPARATIVE ADVANTAGE ability of and individual or group to carry out particular economic activity
globalization process which business develop international influence
collectivization was policy of forced consolidation of individuals peasants households
NAFTA stands for north american free trade
EUROPEAN UNION is apolitical and economic union of 28 members
Chapter 15 the fed and monetary policy
prime and discount rate
the discount rate is used when the federal reserve makes a loan to a private bank or when commercial banks lend to each other.
federal reserve system
the federal reserves system (FRS) is the central bank of the united states. the fed as it is commonly know, regulates the U.S. monetary and financial system
monetary policy is the macroeconomics policy laid down by the central bank. it involves management of money and supply and interest rate and is the demand side economics policy used by the government of the country to achieve macroeconomic objectives like inflation consumption, growth and liquidity
fiscal policy is the means by witch a government adjust its spending levels and tax rate to monitor and influence a nations economy.
Big 3 Econimists
John Maynard Keynes
view that governments should play a major role in economic management marked a break with the laissez-faire economics of Adam Smith
Stated that if investments exceeds savings that there will be inflation and if savings exceeds investment that there will be recession :red_flag:
"The philosophers have only interpreted the world, in various ways. The point, however, is to change it"
a German-born scientist, philosopher, economist, sociologist, journalist, and revolutionary socialist
The Founder of the invisible hand
He was not a political or military figure, but a economist