Economics

Oikonimia - This Greek word means household or one who manages household. John Maynard Keyness - He was the British economist who wrote the book, The General Theory of Employment, Interest and Money. Adam Smith- He was the Scottish moral philosopher and the pioneer of political economy who popularized the economic concept of “invisible hand” Scarcity -This refers to the limited nature of society’s resources. Firms- They are the ones that produce goods and services using inputs, such as labor, land and capital. Ceteris paribus- This refers to the Latin phrase which literally means, “all other things being equal”. Price-This answers the question, “how much is the wanted product or service?” Economics- This refers to the study of how societies use scarce resources to produce valuable commodities and distribute them among different people with various needs. Circular flow of economy model- This refers to a visual model of the economy that shows how money flows through markers among household firms. Household- They are the ones who own the factors of production and consume all the goods and services that firms produce. Utility- This refers to the extent to which goods and services are preferred by consumers. Marginal utility- This refers to the increment in the utility or the added satisfaction upon consuming another amount of the same good. Law of Diminishing Returns- This law states that we will get less extra output when we add additional doses of an input while holding other inputs fixed. Monopoly- This form of market structure exists when a single firm is the sole producer of a product for which there are no close substitutes. Partnership- This refers to an agreement in which two or more persons combine their resources in a business with a view to make a profit. Gross domestic product- This measure to the total market value of all final goods and services produced by permanent residents of a nation within a given period of time. Contraction- Under this phase of business cycle, employees prefer to set aside some wages and reduce their consumption. Trough- This refers to the lower turning point of a business cycle, where a contraction turns into an expansion. Expansion- This refers to a speed-up in the pace of economic activity. Deflation- This refers to a fall in the general level of prices. Perfect competition is rare in the real world, but the model is important because it helps analyse industries with characteristics similar to pure competition. Stock refers to the share of ownership in a corporation. Frictional unemployment occurs when workers are moving between jobs, careers and locations. In general partnership. All member share the management of the business and each is personally liable for the debts and obligations of the business. Visible underemployed workers are those who work for less than 40 hours a week Net factor income from abroad refer to the income of OFWs less income of Transnational Corporations. Mixed Income refers to the combination of wages, salaries, and profits of the self-employed individuals. Money refers to anything that serves as a commonly accepted medium of exchange or means of payment. Monetary policy pertains to the control over the money supply in the circulation.

According to the acceleration principle, the stock of capital depends on the level of income or production. Imports refer to goods and services that are produced abroad and sold domestically. A tax is an involuntary fee levied on corporations or individuals that is enforced by a level of government in order to finance government activities. Agrarian reform refers to any effort, on the part of the government, to solve the problems of low productivity, landless tenants and poverty among the tillers of the soil Land distribution refers to the program of granting certificates of titles to farmer for the land they are tilling. Agrarian reform program is designed to bring about improvements in all the institutions surrounding farm life and other group measures necessary to make the work of the tenant, farm worker and owner-cultivator a success. Enumeration Give the five (5) determinants of demand a. price b. price of inputs c. taste level of desire of the buyer towards the good/service d. future technology e. technology Give the five (5) determinants of supply a. price b. input price c. technology d. future expectations e. government policies Give the five (5) advantages of corporations a. easy to raise funds b. limited liability c. unlimited life d. specialized management e. risk are shared Give the five (5) factors that should be considered in computing GNP under the expenditure approach. a. personal consumption expenditure b. gross private domestic investment plus stock building c. government purchases of goods and services d. net exports e. net factor income from abroad Define and discuss the concepts of globalization and free market policy. Discuss the main functions of taxation. Differentiate land reform from agrarian reform. GOD BLESS everyone!!!! Give your best shot guyz!!