Economics terms everyone should know
Read aguanomics http://www.aguanomics.com/ for the world’s best analysis of the politics and economics of water This piece on “5 economic terms we should all use” got me thinking on what I think people should know. Here are a few to get started.
Opportunity cost: The cost of doing something in terms of time and money.
Examples: If you watch one movie, you cannot watch another. If you date one person, you cannot date another. If you go to one school, you cannot attend another. If you spend money today, you don’t have it tomorrow (and may need to work more to get it!)
Risk versus uncertainty: Risk can be described in probabilities. Uncertainty cannot.
Examples: Life or car insurance fit risk models, so it’s easy to find “fair” prices that reflect your risk and therefore insure you against premature death or accident. When it comes to climate change (or going on a blind date!), there are possibilities rather than probability, so you need to prepare for the worst and hope for the best. That’s why there’s no insurance for bad dates — or climate change!
Average fixed cost: The upfront cost of a good or service divided across its useful life.
Examples: My phone costs $600, but that’s less than $1/day if I use it for 2 years. If I spend 10 hours learning how to do my taxes when I am 25, I can use that knowledge for the rest of my life to save on accountant fees (as well as having a much better idea of how the government “thinks” and how to track my finances).
Value vs price: The value is what it’s worth to me. If that’s greater than the price, then I should buy it — assuming there are no better things to buy (opportunity cost!)
Examples: This bike is worth $400 to me but it’s priced $200. The seller may only value it at $100. We bargain and agree on $150. Both of us are better off. The bike cost me $150 but I value it at $400, so that’s how sad I’d be if it was stolen.
What do you think of these words, definitions and examples? Got any more to discuss?
Source: http://www.aguanomics.com/2017/04/economics-terms-everyone-should-know.html
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world. Anyone can join. Anyone can contribute. Anyone can become informed about their world. "United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
LION'S MANE PRODUCT
Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules
Mushrooms are having a moment. One fabulous fungus in particular, lion’s mane, may help improve memory, depression and anxiety symptoms. They are also an excellent source of nutrients that show promise as a therapy for dementia, and other neurodegenerative diseases. If you’re living with anxiety or depression, you may be curious about all the therapy options out there — including the natural ones.Our Lion’s Mane WHOLE MIND Nootropic Blend has been formulated to utilize the potency of Lion’s mane but also include the benefits of four other Highly Beneficial Mushrooms. Synergistically, they work together to Build your health through improving cognitive function and immunity regardless of your age. Our Nootropic not only improves your Cognitive Function and Activates your Immune System, but it benefits growth of Essential Gut Flora, further enhancing your Vitality.
Our Formula includes: Lion’s Mane Mushrooms which Increase Brain Power through nerve growth, lessen anxiety, reduce depression, and improve concentration. Its an excellent adaptogen, promotes sleep and improves immunity. Shiitake Mushrooms which Fight cancer cells and infectious disease, boost the immune system, promotes brain function, and serves as a source of B vitamins. Maitake Mushrooms which regulate blood sugar levels of diabetics, reduce hypertension and boosts the immune system. Reishi Mushrooms which Fight inflammation, liver disease, fatigue, tumor growth and cancer. They Improve skin disorders and soothes digestive problems, stomach ulcers and leaky gut syndrome. Chaga Mushrooms which have anti-aging effects, boost immune function, improve stamina and athletic performance, even act as a natural aphrodisiac, fighting diabetes and improving liver function. Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules Today. Be 100% Satisfied or Receive a Full Money Back Guarantee. Order Yours Today by Following This Link.
| Online: | |
| Visits: | 1,690,900,432 |
| Stories: | 8,401,117 |
Whistler Blowers, Insiders
