POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

Lopez Branch
Yumul St. Brgy. Burgos Lopez, Quezon 4316

LEARNING ACTIVITY SHEET # 2

NAME: ARDEVELA, Godfred A. GRADE/SCORE:

COURSE and YEAR: BSOA 4 DATE: October 24, 2021
SUBJECT: ECON 20043 – Basic Economics with Taxation INSTRUCTOR: Mar Jonathan Flores
PLEASE SHADE THE APPROPRIATE TYPE OF ACTIVITY:

□ Concept Notes □ Assignment □ Quiz □ Others: ___________

□ Seatwork/Exercise □ Case Study □ Midterm/Final Exam

ACTIVITY TITLE: Introduction to Economics

REFERENCE: Economics by Feliciano Fajardo: Chapter 1

Questions:

Define/Explain the following: (limit your answer to 1-2 sentences only, 3 points each)

1. Empirical Method
2. Ceteris Paribus
3. Economic Principles
4. Economic Policy
5. Third World
6. Oikonomus
7. Capitalism
8. Communism
9. Socialism
10. Adam Smith

Answers:
1. Any method of conducting research based on experimentation and systematic observation
in a systematically controlled, repeatable scenario in order to demonstrate or modify a
hypothesis is described to as an empirical method.
2. In economics, it involves maintaining all other variables similar or slightly constant in order
to rule out the possibility of 'other' elements changing, and it concentrates on implementing
the solution correlation between two variables.
3. Economic principles are guiding rules of the discipline of economics but under specific
assumptions, they appear to be legitimate for a variety of populations and they do not suit
to anyone because it is necessary to consider aspects such as the cost involved.
4. Economic policy is the implementation and administration of an economic theory or
principle in order to affect or regulate the behavior of the economy to stabilize markets,
promote economic prosperity, ensure business development, and promote employment.
5. Third World is economically developing nations, also known as developing countries, in
which there are promising opportunities for growth, though risks are relatively higher, are
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES
Lopez Branch
Yumul St. Brgy. Burgos Lopez, Quezon 4316

generally characterized as performing inadequately economically, innovative and industrial

breakthroughs can lead to significant improvements in a short amount of time.
6. Oikonomos is derived from the Greek word for household management, which is the
modern term for economics, and the phrase indicates how all resources in a household are
managed best to provide pleasure and satisfaction.
7. Capitalism is in itself an economic and political system in which private individuals owned
property, businesses, and industries rather than the state. Decision making and investments
in a capitalist economic system are decided by owners of wealth, property, capital
manipulating ability, or producing capacity in economic and capital markets.
8. Communism is centered on the objective of eradicating economical class conflict by
establishing a classless society where everyone who receives the benefit of labor and the
state controls all property and wealth. The government owns firms on behalf of the workers,
implying that the government has a monopoly.
9. Socialism refers to several economic systems in which the means of production are either
owned by the state or cooperatively owned by the private sector and the state and run for
profit in a market economy. The profits created by the enterprises would be utilized to
directly remunerate employees, employed as a source of public money, or dispersed to the
populace via a social dividend.
10. Adam Smith is known as the "Father of Economics," although he is better known as a social
philosopher whose economic writings are simply the pinnacle to a broader understanding of
social and political progress. His reputation is built on his explanation of how rational self-
interest leads to economic well-being in a free-market economy.