Basic Economic Concepts

Inflation is an economics term that most of us hear a lot. There will often be news stories about how...

The idea of consumer equilibrium can sometimes seem a bit confusing upon first hearing. This is often because it has...

Austrian Economics dates back all the way to the fifteenth century. It is based on the assumption that the actions...

Pareto efficiency is something you may sometimes hear mentioned in relation to economic theory. It is named after an Italian...

The business cycle is something you will frequently hear economists mention.  It is often discussed in relation to a countries...

Anyone who watches the news is sure to have heard about the World Bank, but there may be some uncertainty...

Diminishing returns is probably one of the most important concepts in Economic theory. It is so famous that it has...

An important idea in economic theory is economies of scale. If it wasn't for the existence of this phenomena it...

Those who listen to the financial news may have heard the term 'Keynesian economics' floated around. There may be some...

Yesterday, In Part 1 we discussed economics terminology as it relates to your household budget. Today, let's create a real...

Instead of giving you a definition of economics, I'm going to give you an example that works on a microeconomic...

Gross Rent: Gross Rent refers to the rent paid for the services of land and the capital invested on it....

With supply staying still and demand increasing (right shifting), both the price and quantity supplied are elevated. This is one...

Law of Diminishing Marginal Utility Q - quantity of good TU - total utility MU - marginal utility (ΔTU) Author:...

While many of us surely don't appreciate it from a personal perspective, unemployment is unavoidable in any economy. However, it...