Economics fundamentals
Core concepts for understanding choices, markets and the wider economy.
The quality or condition of being scarce; smallness of quantity in proportion to the wants or demands; deficiency; lack of plenty; short supply;…
anchor · Limited resources relative to wants.Opportunity costWhat you give up by choosing one option instead of the next best option.
core · The value of the best alternative forgone.SupplyTo fill up, or keep full; to furnish with what is wanted; to afford, or furnish with, a sufficiency; as, rivers are supplied by smaller streams;…
core · What producers are willing and able to sell.DemandTo ask or call for with authority; to claim or seek from, as by authority or right; to claim, as something due; to call for urgently or perempto…
core · What consumers are willing and able to buy.InflationThe act or process of inflating, or the state of being inflated, as with air or gas; distention; expansion; enlargement.
core · A sustained rise in the general price level.ProductivityThe quality or state of being productive; productiveness.
core · Output produced from a given amount of input.comparative advantageAn advantage based on giving up less of something else to produce a good.
core · Lower opportunity cost in production.market equilibriumThe point where buyers want to purchase the same amount sellers want to provide.
core · The point where quantity supplied equals quantity demanded.