A quick reminder!

Good Morning,!

So I realized that there'sconfusion between price CEILING and price FLOOR. I know, I know it sounds very self-explanatory, but if you use common sense, you will NOT understand.

Price floor is the lowest legal price a commodity can be sold at. A price floor creates a surplus.  Price floors are used by the government to prevent prices from being too low. The most common price floor is the minimum wage.


Price ceiling creates a shortage.  A price ceiling occurs when the government puts a legal limit on how high the price of a product can be.  In order for a price ceiling to be effective, it must be set below equilibrium. 

*Ms. MCCARTNEY'S NOTES*

 In conclusion, when in doubt think of price CEILING and price FLOOR as opposites.

#LNT3

#LNT2

#Late-nightthoughtspt.2

Factors of production, HUH?

Here's an acronym to help remember the factoradio of production.

C- capital ( physical: tools, building, and factories)( human: skills, abilities,knowledge,and talent
E- entreprenuership
L- labor
L- land

What's a PPC?

It is an production probability curve, that shows the alternative ways to use an economics resource.

#LNT

#late-nightthoughtspt.1

First of what is macroeconomic?

The study of the economy as a whole.

When I hear economics I think of:
-$$$$$
-Trade
-Goods
-Monopoly

LETS TALK ABOUT GOODS!
 They are 2 types of goods that you must know Capital Goods,and Consumer Goods.

Capital Goods- are items used in creation of other goods. (Trucks, Machinery, Factories).

Consumer Goods- Goods that are intended for final use by the consumer.