Choice in a world of scarcity

OpenStax

@

Introduction to choice in a world of scarcity

How individuals make choices based on their budget constraint

1 The concept of opportunity cost

2 Identifying opportunity cost

3 Marginal decision-making and diminishing marginal utility

5 From a model with two goods to one of many goods

6 Key concepts and summary

The production possibilities frontier and social choices

1 The shape of the ppf and the law of diminishing returns

2 Productive efficiency and allocative efficiency

3 Why society must choose

4 The ppf and comparative advantage

5 Key concepts and summary

Confronting objections to the economic approach

1 First objection: people, firms, and society do not act like this

2 Second objection: people, firms, and society should not act this way

3 Key concepts and summary

Source: OpenStax, Principles of economics. OpenStax CNX. Sep 19, 2014 Download for free at http://legacy.cnx.org/content/col11613/1.11

	3 Demand and supply By OpenStax Read Online Course
	1 Welcome to economics! By OpenStax Read Online Course
	Principles of microeconomics for ap® courses By OpenStax Read Online Course
	Concepts of biology By OpenStax Read Online Course
	Principles of microeconomics for ap® courses By OpenStax Read Online Course
	Principles of microeconomics for ap® courses By OpenStax Read Online Course
	Introduction to sociology 2e By OpenStax Read Online Course
	Concepts of biology By OpenStax Read Online Course
	Introduction to sociology 2e By OpenStax Read Online Course
	Introductory statistics By OpenStax Read Online Course
	Principles of microeconomics for ap® courses By OpenStax Read Online Course
	Introductory statistics By OpenStax Read Online Course