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Economics (Practical Personal Financial Info (Gross Pay (Pay before…

- - - - Microeconomics is about the effects and factors of individual decisions. Macroeconomics is about the large scale economic factors such as productivity.
    - - Land- natural resources. Labor- human effort. Capital- tools of production.
    - - Positive- rewards. Negative- punishments. Perverse- accidentally encourage bad behavior
      - Anything that motivates or encourages a certain behavior. Unintended consequences are when an action is taken to help the economy, and the opposite ends up happening.
    - - The next best alternative that people give up when they make a choice
    - - At some point it has lost its satisfaction
    - - For each additional unit the amount of satisfaction. Utility maximization means that at some point the item will have lost its value of happiness.
    - - Wants are unlimited but services and goods are limited