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January 18, 2019 

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ADAM SMITH: A Scottish professor (born 1723, died 1790) who is considered the father of modern economics for his revolutionary book, entitled An Inquiry into the Nature and Causes of the Wealth of Nations published in 1776.

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CONSUMPTION EXPENDITURES: The common term for expenditures by the household sector on gross domestic product. In general consumption expenditures include the wide assortment of goods and services purchased by the household sector that provide satisfaction of wants and needs. Consumption expenditures are divided into three categories -- durable, nondurable, and services.

     See also | consumption | satisfaction | household sector | resources | goods | services | wants | needs | personal consumption expenditures | aggregate expenditures | investment expenditures | government purchases | net exports | circular flow | durable goods, consumption | nondurable goods, consumption | services, consumption |


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CONSUMPTION EXPENDITURES, AmosWEB GLOSS*arama, http://www.AmosWEB.com, AmosWEB LLC, 2000-2019. [Accessed: January 18, 2019].


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ASSUMPTIONS, PRODUCTION POSSIBILITIES

The four key assumptions underlying production possibilities analysis are: (1) resources are used to produce one or both of only two goods, (2) the quantities of the resources do not change, (3) technology and production techniques do not change, and (4) resources are used in a technically efficient way.

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