Ten principles of economics that are easy to understand

Mondo Psychological Updated on 2024-01-30

1.Resources are scarce, and you have to make trade-offs

When you graduate from college, you won't be able to work if you're going to graduate school.

2.There is an opportunity cost to choice, and this cost is what you give up in order to get it

If you decide to go to graduate school, the Xi and living expenses of the graduate school entrance examination, plus the potential job income lost, are the opportunity cost of your graduate school entrance examination.

3.When rational people make decisions, they consider what changes will be made by a little more or a little less

There are seats available on the flight, and it is better to sell one more at a discount than to leave it empty.

4.You will respond to incentives

There is no need to lottery numbers, there is a subsidy for buying a car, and the electricity bill is ...... lower than the fuel costThese will "motivate" you to buy a new energy vehicle instead of a fuel vehicle.

5.* It can make everyone better

I have silk, porcelain, tea, you have grapes, spices, sweat and blood, through the exchange, meet the needs of both sides, mutual benefit and win-win.

6.The market is often a good way to organize economic activity

Everyone makes choices based on their own interests, but it invisibly promotes the interests of everyone.

7.*Market results can sometimes be improved

* Policies can be used to make the cake bigger, or to promote fair distribution of the cake.

8.A country's standard of living depends on its ability to produce goods and services

The higher the productivity of a country, the better life of the people.

9.If the money is printed too much, the money will become wool and the price of goods will rise

Money printers don't just print it.

10.In the short term, when prices are widespread, the unemployment rate may fall

Money can be appropriately printed more, prices can be appropriately **, money is medicine, but remember the lesson of "Dalang, it's time to take medicine": it's okay to take a little medicine, and you will burp if you eat too much.

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