Principios De La Economia

Principles of Economics
These are the principles of how the economy works. They refer to the economy or economic actors. They are thought to parallel the principles or laws in natural science.
Thisis the list of principles that Makinw’s think how economic works.
1. People Face Tradeoffs. To get one thing, you have to give up something else. Making decisions requires trading off one goalagainst another. 
2. The Cost of Something is What You Give Up to Get It. Decision-makers have to consider both the obvious and implicit costs of their actions. 
3. Rational People Think at theMargin. A rational decision-maker takes action if and only if the marginal benefit of the action exceeds the marginal cost. 
4. People Respond to Incentives. Behavior changes when costs orbenefits change. 
5. Trade Can Make Everyone Better Off. Trade allows each person to specialize in the activities he or she does best. By trading with others, people can buy a greater variety of goods orservices. 
6. Markets Are Usually a Good Way to Organize Economic Activity. Households and firms that interact in market economies act as if they are guided by an "invisible hand" that leads themarket to allocate resources efficiently. The opposite of this is economic activity that is organized by a central planner within the government. 
7. Governments Can Sometimes Improve MarketOutcomes. When a market fails to allocate resources efficiently, the government can change the outcome through public policy. Examples are regulations against monopolies and pollution. 
8. A Country'sStandard of Living Depends on Its Ability to Produce Goods and Services. Countries whose workers produce a large quantity of goods and services per unit of time enjoy a high standard of living.Similarly, as a nation's productivity grows, so does its average income.
9. Prices Rise When the Government Prints Too Much Money. When a government creates large quantities of the nation's money, the...