# data[].attributes.attachment_link.title
ESI Unit 1 Lesson 2 - Powers of Economic Thinking Flashcards | Quizlet

# data[].attributes.attachment_link.description
Start studying ESI Unit 1 Lesson 2 - Powers of Economic Thinking. Learn vocabulary, terms, and more with flashcards, games, and other study tools.

# data[].attributes.body
1. Explain that scarcity exists because factors of production are finite and wants are infinite.

2. Explain that as a result of scarcity, choices have to be made.

3. Explain that when an economic choice is made, an alternative (called opportunity cost) is always foregone.

4. Explain why choice results in an opportunity cost.

5. Explain that the three basic economic questions that must be answered by any economic system are: (a) What to produce; (b) How to produce, and; (c) For whom to produce.

6. Explain that economics studies the ways in which resources are allocated to meet needs and wants.

7. Examine the assumption of rational economic decision-making.

8. Identify the four factors of production and their respective payments (rent, wages, interest and profit)

9. Clarify the meanings of the term capital

10. Explain different qualities of market-based vs. command economies.

11. Describe, using a diagram, the circular flow of income between households and firms in a closed economy with no government.

12. Identify the flow of the four factors of production and the flow of income in the circular flow diagram.

13. Outline that the income flow (income earned by the factors of production) is numerically equivalent to the expenditure flow (spending to buy final goods and services)  and the value of output flow (value of all final goods and services).

14. Describe, using a diagram, the circular flow of income in an open economy with government and financial markets, referring to leakages/withdrawals (saving, taxes and import expenditure) and injections (investment, government expenditure and export revenue).

15. Explain how the size of the circular flow will change depending on the relative size of injections and leakages.

# data[].attributes.attachment_link.description
What are economic resources? The four major categories are explained in this video. "Episode 3: Resources" by Dr. Mary J. McGlasson is licensed under a Creative Commons Attribution-NonCommercial-NoDerivs 3.0 Unported License.

# data[].attributes.attachment_link.entities[].name
Four Reasons Financial Intermediaries Fail

# data[].attributes.attachment_link.entities[].name
University of London International Programmes

# data[].attributes.attachment_link.description
Economics is much more than just numbers and graphs. In fact, we can use economics to explain much of what we encounter in our daily lives. For instance, why is customer service at your local restaurant usually better than that of the cable company?

# data[].attributes.body
Regardless of whether you choose "rationally" or "behaviorally" Sheena outlines practical advice for decision-makers.

# data[].attributes.attachment_link.title
Sheena Iyengar: How to make choosing easier

# data[].attributes.attachment_link.description
http://www.ted.com We all want customized experiences and products -- but when faced with 700 options, consumers freeze up. With fascinating new research, Sheena Iyengar demonstrates how businesses (and others) can improve the experience of choosing.

# data[].attributes.attachment_link.title
A premier source of classroom tested, Internet-based economic lesson materials for K-12 teachers and their students | EconEdLink

# data[].attributes.attachment_link.description
Store photos and docs online. Access them from any PC, Mac or phone. Create and work together on Word, Excel or PowerPoint documents.

# data[].attributes.body
St. Louis Fed

# data[].attributes.attachment_link.title
Choices Are Everywhere Why Can’t We Just Have It All - Page One Economics - St. Louis Fed.pdf