Professional Documents
Culture Documents
Lesson 1 Economics As Applied
Lesson 1 Economics As Applied
APPLIED SCIENCE
LESSON 2
ECONOMICS IS A STUDY OF ECONOMIC ACTIVITIES
OF A MAN. IT IS ONLY CONCERNED WITH THE
WEALTH-GETTING AND WEALTH-USING ACTIVITIES
OF A MAN.
- PROF. MARSHALL
SPECIFIC OBJECTIVES
SIMPLER DEFINITION
• Applied economics – is the study of observing how theories work in
practice.
WHAT IS THE IMPORTANCE OF APPLIED
ECONOMIC APPLICATION?
Econometrics
Applied
ECONOMETRICS EXAMPLE
Income Spending
Unemploy
Inflation Scarcity ment
Slow
Growth
SCARCITY
Video
BASIC ECONOMIC PROBLEMS
1. What to produce?
- The system must determine the desires of the people.
- Goods and services must be based on the needs of the
consumers
Factors to consider:
a. Availability of resources
b. Physical environment
c. Customs and traditions of people
BASIC ECONOMIC PROBLEMS