GROUP PRESENTATION

A REPORT PREPARED BY: GROUP 1

BSBA - BE 3A

PROPONENTS:
Antigua, Sajen Marie Nano
Fidelson, Mia Clarisse Padua
Rada, Ailyn Joy Arnaldo
Vega, Princess Selahme Pleto
Sanchez, Jon Maurice Atienza
 AYS
D

Agenda
TO

How people make decisions

To be reported by: Vega, Princess Selahme Pleto

Economics as Science and Art

To be reported by: Fidelson, Mia Clarisse Padua

Economic resources and economic Problems

To be reported by: Antigua, Sajen Marie Nano

System and tools

To be reported by: Rada, Ailyn Joy Arnaldo

Demand and Supply Concepts

Law of demand and supply
parameters of D and S
To be reported by: Sanchez, Jon Maurice Atienza
"let's Start"
 How people make decisions

To be reported by: Vega, Princess Selahme Pleto

 HOW PEOPLE MAKE DECISIONS

Lesson: People make decisions based on their

preferences, values, and goals.

Preferences and trade-offs:

Values and decision-making:

Goals and decision-making:

HOW PEOPLE MAKE DECISIONS

Lesson: They weigh the costs and benefits of each

decision and choose the option that offers the most
benefits with the least cost.

Identifying costs and benefits

Evaluating costs and benefits

Choosing the best option

 HOW PEOPLE MAKE DECISIONS
Lesson: People also consider the opportunity cost, or the value of the next
best alternative that they gave up in order to make the chosen decision.

Identifying opportunity costs

Evaluating opportunity costs

Incorporating opportunity costs into decision-

making:
 Economics as Science and Art

To be reported by: Fidelson, Mia Clarisse Padua

 ECONOMICS AS SCIENCE AND ART
The Nature of Economics: Science or Art?
It is a matter of debate among Economists whether Economics is primarily a science, an art, or a
combination of both. Different economists and schools of thought may emphasize different aspects based
on their perspectives and methodologies.

Economics as Science
Generally, the characteristics of a subject considered as science includes the following:
It has empirical foundation and measurability.
It is a study of cause-and-effect relationships.
It has its distinct methodological framework.
It has the capability for forecasting.

Respectively, these are observed in Economics as well, as stated below.

Empirical data plays a crucial role in economics. Economists gather and analyze data on
various economic indicators to measure and understand economic performance.
Economics delves into cause-and-effect relationships by analyzing how changes in
economic variables, impact outcomes like prices, production, and consumption.
Economics employs its own set of methodologies to analyze the behavior of individuals,
firms, and economies as a whole.
Forecasting is a significant aspect of economics. Economists use historical data and
economic models to make predictions about future economic trends, such as growth
rates, inflation levels, and employment prospects.
 ECONOMICS AS SCIENCE AND ART
Art can be defined as a branch of study that deals with expressing or applying the creative skills
and imagination of humans to perform a certain activity.
And similarly, economics also requires human imagination for the practical application of scientific laws,
principles, and theories to perform a particular activity.

Economics as Art
Characteristics of Economics as an Art:
Subjective Interpretation. Similar to how art is often open to interpretation, economic
analysis can involve subjective judgment when applying theories and models to real-
world situations.
Creative Problem-Solving. Economists frequently engage in creative problem-solving to
address complex economic challenges.
Contextual Application. Just as artists adapt their techniques to suit different subjects
and styles, economists tailor economic theories to various social, cultural, and
geographical contexts.
Ethical Considerations. Both art and economics involve ethical considerations.
Interdisciplinary Nature. Art often draws inspiration from multiple fields, and economics
is similarly interdisciplinary.
Exploration of Human Experience. Like art, economics explores human experiences,
behaviors, and interactions.
Aesthetic Elements. In economics, there can be elegance and beauty in the simplicity of a
well-formulated economic model or the elegance of a comprehensive theory that explains
complex phenomena.
 ECONOMICS AS SCIENCE AND ART

Conclusion:
Economics is a Science and an Art. It follows
scientific method to study and understand
economic phenomena while also being involved in
subjective judgment and interpretation.
Economics has a strong foundation in empirical
analysis and methodologies, and its artistic
elements emerge in the application of economic
theories to real-world scenarios and when
considering the multifaceted aspects of economic
behavior and systems.
 Economic resources
and Economic Problems

To be reported by: Antigua, Sajen Marie Nano

 ECONOMIC RESOURCES
PIC
O AND ECONOMIC PROBLEMS
T

ECONOMIC RESOURCES
Also known as factors of production, are the inputs
used in the production of goods and services

" LAND, LABOR, CAPITAL, ENTREPRENEURSHIP "

LAND: refers to natural resources such as minerals, water,

forests, and agricultural land.

LABOR: The human effort and skill used in the production process.

CAPITAL: Physical tools, machinery, and infrastructure used to

produce goods and services.

NO ENTREPRENEURSHIP: The creativity and risk-taking ability of

individuals who organize and combine the other resources to
create value.
 ECONOMIC RESOURCES
AND ECONOMIC PROBLEMS

ECONOMIC PROBLEMS
- arise from the scarcity of resources relative to
unlimited wants and needs.

•The problem of allocation of resources arises due to the

scarcity of resources,

•The problem of economic efficiency Resources are scarce

and it is important to use them as efficiently as possible.

•The problem of full-employment of resources An

economy should achieve maximum satisfaction by using
scarce resources in the best possible manner;
 Economic Resources and Economic Problems "Cont"

System and tools

To be reported by: Rada, Ailyn Joy Arnaldo

 System and tools
Economic Systems
• It is a structures and mechanisms that societies use to
allocate resources and address the economic problems.
Some common economic systems include:
A. Market Economy:
Resources are allocated through the interactions of buyers and sellers in
markets.

B. Command Economy:
The government controls resource allocation and production decisions.

C. Mixed Economy:
Combines elements of both market and command economies.

D. Traditional Economy:
Resources are allocated based on customs, traditions, and historical practices.
 System and tools
Economic Tools

• Various tools are used to analyze and manage economic resources and problems
SOME ECONOMIC TOOLS
A. Supply and Demand Analysis :
Examining how prices and quantities of goods and services are determined in a market
economy.

B. Cost-Benefit Analysis :
Assessing the pros and cons of different choices by comparing their costs and benefits.

C. Gross Domestic Product (GDP) :

A measure of a country's economic output and performance.

D. Fiscal Policy :
Government decisions regarding taxation and government spending influence the economy.

E. Monetary Policy :
Central bank actions to control the money supply and interest rates to achieve economic goals.

F. Trade Policies :
Regulations and agreements governing international trade and commerce.
 Demand and Supply Concepts
Law of demand and supply
parameters of D and S

To be reported by: Sanchez, Jon Maurice Atienza

 Demand and Supply Concepts

Supply and Demand Definition

Supply and demand is a simple concept

that describes how much of something
people want to buy which is the (demand)
and how much of that thing is available for
sale, which is the (supply).
Demand and Supply Concepts
Law of demand and supply
Law of Demand

Law of Demand: The law of demand states that, all else

being equal, the quantity demanded of a good or service
decreases as its price increases, and vice versa. In simpler
terms, when the price of a product goes up, consumers
tend to buy less of it, and when the price goes down, they
tend to buy more.

Several factors contribute to the law of demand:

Substitution Effect:

Income Effect:

Law of Diminishing Marginal Utility:

 Demand and Supply Concepts
Law of demand and supply
Law of Supply

The law of supply states that, all else being equal,

the quantity supplied of a good or service increases
as its price increases, and vice versa. In other words,
producers are generally willing to supply more of a
product at higher prices and less at lower prices.
Several factors contribute to the law of Supply

Profit Motive:

Production Costs:

Technological Advancements:

Resource Availability:
 Demand and Supply Concepts
parameters of D and S
In economics, various factors influence the demand and supply of goods and services, shaping
the equilibrium price and quantity in a market. These factors are often referred to as the
parameters of demand and supply. Here are the key parameters that affect both demand and
supply:

Parameters of Demand:

Price of the Product:

Income:

Consumer Preferences and Tastes:

Population and Demographics:

Consumer Expectations:
 Demand and Supply Concepts
parameters of D and S

Parameters of Supply:

Price of the Product:

Production Costs:

Technology and Innovation:

Resource Availability:

Government Policies and Regulations:

Thank you!
for listening!