1. Economics Introduction Frederick University 2014

2. Introduction The Doctor has no free appointments open till December … but he has a €50 appointment open this afternoon

3. Introduction Scarcity of Resources People always want more than they can afford Scarcity is a relationship between needs and resources - Resources = Factors of Production: Labor Land Capital (Entrepreneurship) - Technology – a way of putting resources together

4. Introduction Sources of Economic Problems Scarcity of resources Technological changes Changes in tastes and preferences

5. Introduction Main Economic Questions Sources Scarcity of resources Technological changes Changes in tastes and preferences Questions What (and how much) How For whom

6. Introduction Economic Agents Households Firms Government L, N, K Final goods and services

7. Introduction What Economics is About Economics is the study of how economic agents make decisions what to produce, how to produce, and for whom to produce

8. Introduction Microeconomics Macroeconomics International Economics Mesoeconomics Comparative Economics

9. Modeling Economic Relationships Schematic Models Graphic Models Mathematical Models