Economics? What? When you hear the word, 'economics' the normal person first thinks of money! Money, one of the most controlling things in the entire world. Without money, you are literally worthless. Economics, by definition, is the study of how resources are converted into goods and services, and how these goods and services are distributed and used. It isn't just money! Goods are manufactured materials and products that people normally buy, while services are things that companies provide, such as lawn care and television repair. There are three types of economic strategies our world uses: Centrally Planned Market: The government decides what is made, how it is made, when it is made, and who gets the stuff! Free Market Economy: The individual decides what is made, how it is made, and how much of it is made. Mixed Economies The more popular type of economy, the government and the individual both share these ideas and decisions together. Economics is tied to what people seem to want and need on a daily basis. If people for some reason want more pillows one day, the demand for pillows goes up. When the demand for pillows goes up, so will the supply to meet those demands. Which then brings us to our next group of vocab words: Supply: The amount of product for sale at a given price. Demand: The amount of product people are able to buy if they are free to do so. Most sellers aim to sell their product at the highest prices they can before consumers decide to turn to another type of product. When demand is low, sellers may drop the prices and slow down the production.. But when demand is high, they might raise the prices and raise production. No matter the circumstances, in most cases, each product is suggested to meet an equilibrium -- also known as the fact that the amount of product produces is equal to the demand for that product. Most people who are making decisions use the Cost-benefit analysis method. It does as you probably thought.. They weigh the costs and benefits of each idea.. If the benefits outweigh the cost of the idea, they will go through with it, and most likely make the idea happen.. But if the cost outweighs the benefits, either the idea will be altered to where the benefits outweigh the cost, or the idea will be scrapped. Non-Market Values: Values not usually included in the prices of goods or services. Types of Non-Market Values: Use Value: Things that we use directly, like waves for surfing, or a river for rafting. Option Value: Things we do not use now, but we may use later.. Like an uncut forest for timber. Aesthetic Value: Things we appreciate for beauty, or emotional appeal. Cultural Value: Things that help sustain or define a culture. Scientific Value: May be the subject of scientific research. Educational Value: Things that may teach us about ourselves or the world. Existence Value: Things that exist, but we may not experience them directly, such as animals in far-off places. These different types of values are not defined in most economies, therefor people will exploit them. When markets do not reflect the full cost and benefits of actions, they are said to fail. Market Failure: Market failure occurs when markets do not consider the environments positive effects on economies, such as ecosystem services. Or when they do not reflect the negative effects of economic activity on people or the environment, such as external costs. For example, a company emits chemicals that harm trees and pollute water a hundred miles away.. That company wont be held responsible for the fact that they're the ones that polluted the water and harmed the trees. They aren't responsible for the cost of the resources used, clean-up costs, or the effect on human health, hell no. Want to guess who is? The consumer, otherwise known as tax payers. The government gives companies economic incentives to make sure that these scenarios do not happen. They sit on top of companies to make sure they do not even start, or if so, reduce the amount of pollution. If successful, they are rewarded with multiple variants of incentives. If unsuccessful, they are slapped in the face with fees and fines until they fix up their mess and unpollute the earth. The environment has more of an effect on the economy more than people imagine.. So when people are like, "Oh who cares about the cars we drive? The ozone stuff is crap anyway. Yeah, we don't have to recycle. Just throw it out on the road, everyone else does it!" There are so many factors that go into economics, and there are so many things that contribute and can alter the way economics works, but everything that I wrote in this thread, is not only everything that will be on my next Environmental science AND Economics test, it is something you all should be aware of. This is my method of studying, as well as my method of getting the point across that yes, everyone here may know a little something about economics, but now you know it isn't just about the word, "Money." If you wish to add something else about the topic of economics, or environmental science, please do be my guest. This isn't a thread for arguing, this is a thread to broaden everyone's horizons on the views of modern-day economics and very few but broad subjects that influence various different economies and methods. Thank you for reading, and I hope someone learned something. Good day, -CJS.
Are you attempting to teach pimd players? Or just writing this for fun? Either way, you're crazy. I'd be bored to death.
Very true I won't add on to this because I agree with what you said. I like your study habits. . When I took calculus and trigonometry I bought a white board and practiced that way I'm interested in your thoughts in Environmental sciences. Looking forward to it
Now apply this to PIMD! You can actually figure out the reason behind the Demo V Terror SF war, why you trade certain tutors verses others, and all sort of cool things!
Homework, Hermes. Your homework is to apply this to life, and your surroundings. Expanding your knowledge on current events such as politics, and modern day economics will not only better yourself, but it will also broaden the knowledge of those around you. The knowledge you provide for other people is much further needed than you can imagine.