Tuesday, March 2, 2010

economy

1. Every person faces the tradeoff
 
Nothing is free in this world. To get something we want, we also have to sacrifice something. That is what is meant by the exchange or (tradeoff). What we need to consider is the sacrifice that always be measured with the materials or money. When we smoke, then we ought to sacrifice the money that we can use to buy school equipment and also harm the health of ourselves.Given this tradeoff reminds us that every person can not obtain all the needs that we want. It became the most important thing for being an option we must choose one of the best for ourselves. Are we going to learn geography with chemistry? We can not learn geogarfi with the chemical.2. Cost
 
We must realize that every person will face a tradeoff, then we must have criteria for what should be a better choice than other options. This can be measured dengn compare our costs to memperoloh menfaat kelurkan we want. Now that we know manvaat of subjects we want most, we just choose the most useful subjects for us whether geography or chemistry.Sometimes the problem is the cost that is not too visible in the beginning because brsifat subjective. This is what causes people to feel sorry and wrong decision. For students the greatest cost is in fact not in kelurkan money but the time that is in use. With college means he wasted his chance to work, and with college beratidia not work. Therefore, in the taxable term opportunity cost (opportunity cost), ie, costs that must be sacrificed to obtain the first best choice and not make the best choices to two.3. Rational People Think at the boundaries
 
Sometimes not the main thing when people have to learn or not learn when they will test because it will test if they have to learn. But more importantly if someone studied for 2hours, then what if he adds Effective enough time to study and rest 1 hour. Are we getting enough sleep during the night and finished 7jam or whether it will increase during 2hours lagi.Inilah which meant thinking on the boundaries. Not seeing the cost benefits of exercise but the costs or benefits of adding an hour to exercise. The addition (marginal) to consider: whether the marginal benefit is greater with Biya marginal.4. People respond teerhadap incentives
 
Since one can make decisions based on the comparison of costs and benefits, the decision to be taken could change if there are changes in costs and benefits. This means that each person is also responsive to incentives. Incentive problems is important because it can change the behavior of each person. By managing the incentives are good, then the government can regulate behavior in accordance with the wishes of its citizens. But it should be noted that the effect of incentives could not be immediately felt or seen.

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...

Random Posts