SlideShare ist ein Scribd-Unternehmen logo
1 von 1
Nine Principles of Economic ThinkingNine Principles of Economic Thinking
 Everything has a costEverything has a cost
 People choose for good reasonsPeople choose for good reasons
 Incentives matterIncentives matter
 Economic actions carry secondary effectsEconomic actions carry secondary effects
 People gain from voluntary tradePeople gain from voluntary trade
 Economic Thinking is marginal thinkingEconomic Thinking is marginal thinking
 The price of a good or service is affected byThe price of a good or service is affected by
people’s choicepeople’s choice
 People create economic systems to influencePeople create economic systems to influence
choice and incentiveschoice and incentives
 The test of a theory is its ability to predictThe test of a theory is its ability to predict

Weitere ähnliche Inhalte

Mehr von agjohnson

15 interest rates and monetary policy new
15 interest rates and monetary policy new15 interest rates and monetary policy new
15 interest rates and monetary policy newagjohnson
 
14 creating money new
14 creating money new14 creating money new
14 creating money newagjohnson
 
Demand and supply money
Demand and supply moneyDemand and supply money
Demand and supply moneyagjohnson
 
13 money and banking new
13 money and banking new13 money and banking new
13 money and banking newagjohnson
 
Fiscal policy
Fiscal policyFiscal policy
Fiscal policyagjohnson
 
Gdp, inflation, and business cycles
Gdp, inflation, and business cyclesGdp, inflation, and business cycles
Gdp, inflation, and business cyclesagjohnson
 
Aggregate Supply
Aggregate SupplyAggregate Supply
Aggregate Supplyagjohnson
 
Aggregate spending _saving__and_consumpt
Aggregate spending _saving__and_consumptAggregate spending _saving__and_consumpt
Aggregate spending _saving__and_consumptagjohnson
 
Unemployment
UnemploymentUnemployment
Unemploymentagjohnson
 
Circular flow
Circular flowCircular flow
Circular flowagjohnson
 
Opportunity cost powerpoint
Opportunity cost powerpointOpportunity cost powerpoint
Opportunity cost powerpointagjohnson
 
Wage determination
Wage determinationWage determination
Wage determinationagjohnson
 
Demand for resources
Demand for resourcesDemand for resources
Demand for resourcesagjohnson
 
Monopoly decisions
Monopoly decisionsMonopoly decisions
Monopoly decisionsagjohnson
 

Mehr von agjohnson (20)

15 interest rates and monetary policy new
15 interest rates and monetary policy new15 interest rates and monetary policy new
15 interest rates and monetary policy new
 
14 creating money new
14 creating money new14 creating money new
14 creating money new
 
Demand and supply money
Demand and supply moneyDemand and supply money
Demand and supply money
 
13 money and banking new
13 money and banking new13 money and banking new
13 money and banking new
 
Fiscal policy
Fiscal policyFiscal policy
Fiscal policy
 
Gdp, inflation, and business cycles
Gdp, inflation, and business cyclesGdp, inflation, and business cycles
Gdp, inflation, and business cycles
 
Aggregate Supply
Aggregate SupplyAggregate Supply
Aggregate Supply
 
Aggregate spending _saving__and_consumpt
Aggregate spending _saving__and_consumptAggregate spending _saving__and_consumpt
Aggregate spending _saving__and_consumpt
 
Unemployment
UnemploymentUnemployment
Unemployment
 
Gdp
GdpGdp
Gdp
 
Equilibrium
EquilibriumEquilibrium
Equilibrium
 
Markets
MarketsMarkets
Markets
 
Supply
SupplySupply
Supply
 
Demand
DemandDemand
Demand
 
Circular flow
Circular flowCircular flow
Circular flow
 
Opportunity cost powerpoint
Opportunity cost powerpointOpportunity cost powerpoint
Opportunity cost powerpoint
 
Wage determination
Wage determinationWage determination
Wage determination
 
Demand for resources
Demand for resourcesDemand for resources
Demand for resources
 
Monopoly
MonopolyMonopoly
Monopoly
 
Monopoly decisions
Monopoly decisionsMonopoly decisions
Monopoly decisions
 

Economic thinking powerpoint

  • 1. Nine Principles of Economic ThinkingNine Principles of Economic Thinking  Everything has a costEverything has a cost  People choose for good reasonsPeople choose for good reasons  Incentives matterIncentives matter  Economic actions carry secondary effectsEconomic actions carry secondary effects  People gain from voluntary tradePeople gain from voluntary trade  Economic Thinking is marginal thinkingEconomic Thinking is marginal thinking  The price of a good or service is affected byThe price of a good or service is affected by people’s choicepeople’s choice  People create economic systems to influencePeople create economic systems to influence choice and incentiveschoice and incentives  The test of a theory is its ability to predictThe test of a theory is its ability to predict