Applied Economics

What’s New?
Activity 1

1. GOOD- a classification of industrial goods.

goods purchased by industrial firms for use in the
manufacture of their finished products.

2. Economists use the term utility to describe the pleasure

or satisfaction that a consumer obtains from his or her
consumption of goods and services. Utility is a subjective
measure of pleasure or satisfaction that varies from
individual to individual according to each individual's
preferences.

3. We need to study economics to know how societies,

governments, businesses, households, and individuals
allocate their scarce resources. Our discipline has two
important features. First, we develop conceptual models of
behavior to predict responses to changes in policy and
market conditions. Second, we use rigorous statistical
analysis to investigate these changes.

4. Economics plays a role in our everyday life. Studying

economics enables us to understand past, future and current
models, and apply them to societies, governments,
businesses and individuals.

5. Economics is a branch of social science that deals with

the activity and interaction of production, distribution, and
consumption of goods and services in the market economy
to allocate scarce resources.

What I know?
Activity 2
 1. CAPITAL GOODS
2. MICRO ECONOMICS
3.SCARCITY
4.TANGIBLE GOODS
5.LUXURY GOODS

WHAT’S IN?
Activity 3
1.C
2.D
3.C
4.C
5.A
What’s More.
Activity 4
Consumer Industrial Essential Luxury Economics
Goods Goods Goods Goods Goods

Toothpaste Sacks of Perfumes

rice
Aircon Wrist watch
Canned
Coffee maker goods

Vegetable

Meat

bread

Assessment
Activity 5.
1.Land

2.Labor

3.Capital

4.Entrepreneur

What I can do?

Activity 5
1. Natural resources are materials and substances that occur
naturally and can be used for economic gain. They include minerals,
forests, fertile land, and water. Some natural resources, such as soil
and water, are essential for the existence of life.

2. Labor - any form of human effort exerted in production. Also called

human resources. Entrepreneurship the individual responsible for
combining and organizing natural resources, capital goods, and labor
to produce a good or service.

3. Capital goods are man-made, durable items businesses use to

produce goods and services. They include tools, buildings, vehicles,
machinery, and equipment. Capital goods are also called durable
goods, real capital, and economic capital.

4. An entrepreneur is a person who combines the other factors of

production - land, labor, and capital - to earn a profit. The most
successful entrepreneurs are innovators who find new ways produce
goods and services or who develop new goods and services to bring
to market.

Activity 6
1. Capital
2. It Depend on the company cash or hand

3. Land
The raw materials in the manufacturing process are land resources.
These resources might be either renewable (forests) or
nonrenewable (oil and natural gas).

Rent is the money that resource owners receive in exchange for land
resources.

Labor

Labor is when people put the effort into the production of goods and
services.

The waiter who brings your lunch to a neighborhood restaurant and

the engineer who created the bus that transports you to school are
both examples of labor resources.

Wages are the most common form of money produced by labor

resources, and they are the most common source of income for most
people.

Capital

The technology, tools, and structures that humans utilize to produce

commodities and services are referred to as capital.

Hammers, books, medical equipment, computers, and delivery trucks

are all examples of capital.

Owners of capital resources earn interest as a source of income.

Entrepreneurship.

An entrepreneur is a person who is responsible for making a profit by

combining the other sources of production, like land, labor, and
capital.

Entrepreneurs are a critical driver of economic progress, contributing

to the creation of some of the world's largest corporations as well as
small enterprises in your area. 

4.the weather or season, the location and the soil

must also be considered.

What I have learned

a Microeconomics study of markets of good and services
and focuses on the behavior of individual on products and
services in the market while Macroeconomics deals with
the study of the economy as a whole and focuses on
aggregate indicators such as productions, employment,
standard of living. The Classification of goods are
Consumer goods, Luxury goods, Industrial goods,
Economic goods, Essential goods. There are four factors
of production or the resources needed to produce products
and services Land as a Factor of Production, Labor as a
Factor of Production, Capital as a Factor of Production,
Entrepreneurship as a Factor of Production. Needs and
wants are unlimited while resources are limited.

What I can do ( ASSESSMENT)

The Economy
MICROECONIMICS MACROECONOMICS

A C

B D

F E

REFLECTION
I understand that I need to answer this by myself and learn
how to think like a normal person and not ask anyone else to
do my homework. I realize that I can answer this if I think
properly, and focus on the homework.