|
ABSOLUTE ADVANTAGE: The general ability to produced more goods using fewer resources. This idea of absolute advantage is important for trading that occurs between both people and nations. A nation can get an absolute advantage from an advanced level of technology or higher quality resources. For a person, an absolute advantage can result from natural abilities or the acquisition of human capital (education, training, or experience).
Visit the GLOSS*arama
|
|
|
|
Lesson 21: Factor Demand | Unit 1: Factor Markets
|
Page: 3 of 24
|
- A review the four basic resources included in factor markets:
- Labor: This is the human effort, both physical and mental, used in production.
- Capital: This is the machines, equipment, tools, and buildings used in production.
- Land: This is the raw materials or natural resources that make up the good produced.
- Entrepreneurship: This is the risk-taking organizers of production.
- Once again, it is worth emphasizing that factor markets trade the services of these assorted resources.
|
|
|
|
|
|
AGGREGATE SUPPLY DECREASE, LONG-RUN AGGREGATE MARKET A shock to the long-run aggregate market caused by a decrease in aggregate supply, resulting in and illustrated by a leftward shift of the long-run aggregate supply curve. A decrease in aggregate supply in the long-run aggregate market results in an increase in the price level and a decrease in real production. The level of real production resulting from the shock is a smaller level of full-employment real production.
Complete Entry | Visit the WEB*pedia |
|
|
BEIGE MUNDORTLE [What's This?]
Today, you are likely to spend a great deal of time going from convenience store to convenience store hoping to buy either blue cotton balls or a genuine down-filled pillow. Be on the lookout for celebrities who speak directly to you through your television. Your Complete Scope
This isn't me! What am I?
|
|
Two and a half gallons of oil are needed to produce one automobile tire.
|
|
"Sometimes when you innovate, you make mistakes. It is best to admit them quickly and get on with improving your other innovations. " -- Steve Jobs, Apple Computer founder
|
|
CME Chicago Mercantile Exchange
|
|
Tell us what you think about AmosWEB. Like what you see? Have suggestions for improvements? Let us know. Click the User Feedback link.
User Feedback
|
|