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Xin Ying Pua
08/12/2022
Economics
IGCSE ECONOMICS The Basic Economic Problem
The basic economic problem arises from finite resources and unlimited wants, leading to scarcity. This summary explores the factors of production and the concept of opportunity cost in IGCSE Economics, providing key insights into how societies allocate resources and make economic decisions.
08/12/2022
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This section delves into the concept of opportunity cost and introduces the Production Possibility Curve as a tool for economic analysis.
Definition: Opportunity cost is the next best alternative forgone or sacrificed in order to satisfy another choice.
Example: If a government chooses to build a hospital instead of a school, the school becomes the opportunity cost.
Understanding opportunity cost is essential for making informed economic decisions at both individual and societal levels.
The PPC is a diagram that shows the maximum combination of two goods that can be produced by an economy with all available resources.
Highlight: The PPC illustrates the concept of opportunity cost and helps in understanding economic trade-offs.
Key points about the PPC:
Factors causing an outward shift in the PPC include:
Factors causing an inward shift in the PPC include:
Example: Producing 500 units of Good X has an opportunity cost of 1000 units of Good Y on a given PPC.
Understanding the PPC and its shifts is crucial for analyzing how to solve basic economic problems and make efficient resource allocation decisions.
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The basic economic problem arises from finite resources and unlimited wants, leading to scarcity. This summary explores the factors of production and the concept of opportunity costin IGCSE Economics, providing key insights into how societies allocate resources and make... Show more
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This section delves into the concept of opportunity cost and introduces the Production Possibility Curve as a tool for economic analysis.
Definition: Opportunity cost is the next best alternative forgone or sacrificed in order to satisfy another choice.
Example: If a government chooses to build a hospital instead of a school, the school becomes the opportunity cost.
Understanding opportunity cost is essential for making informed economic decisions at both individual and societal levels.
The PPC is a diagram that shows the maximum combination of two goods that can be produced by an economy with all available resources.
Highlight: The PPC illustrates the concept of opportunity cost and helps in understanding economic trade-offs.
Key points about the PPC:
Factors causing an outward shift in the PPC include:
Factors causing an inward shift in the PPC include:
Example: Producing 500 units of Good X has an opportunity cost of 1000 units of Good Y on a given PPC.
Understanding the PPC and its shifts is crucial for analyzing how to solve basic economic problems and make efficient resource allocation decisions.
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The fundamental economic problem stems from the scarcity of resources in the face of unlimited human wants. This section explores key economic concepts and the factors of production.
Definition: The basic economic problem is the conflict between finite resources and unlimited wants.
Resources are inputs required for the production of goods and services. Scarcity refers to the lack of resources to satisfy all wants.
Vocabulary: Economic goods are scarce in supply and can only be produced with an economic cost or consumed with a price.
Free goods, on the other hand, are abundant in supply and usually come from natural sources like air and sunlight.
The factors of production in IGCSE economics are:
Highlight: Understanding the factors of production and their rewards is crucial for analyzing economic systems and decision-making processes.
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The app is very easy to use and well designed. I have found everything I was looking for so far and have been able to learn a lot from the presentations! I will definitely use the app for a class assignment! And of course it also helps a lot as an inspiration.
Stefan S
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This app is really great. There are so many study notes and help [...]. My problem subject is French, for example, and the app has so many options for help. Thanks to this app, I have improved my French. I would recommend it to anyone.
Samantha Klich
Android user
Wow, I am really amazed. I just tried the app because I've seen it advertised many times and was absolutely stunned. This app is THE HELP you want for school and above all, it offers so many things, such as workouts and fact sheets, which have been VERY helpful to me personally.
Anna
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Best app on earth! no words because it’s too good
Thomas R
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Just amazing. Let's me revise 10x better, this app is a quick 10/10. I highly recommend it to anyone. I can watch and search for notes. I can save them in the subject folder. I can revise it any time when I come back. If you haven't tried this app, you're really missing out.
Basil
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This app has made me feel so much more confident in my exam prep, not only through boosting my own self confidence through the features that allow you to connect with others and feel less alone, but also through the way the app itself is centred around making you feel better. It is easy to navigate, fun to use, and helpful to anyone struggling in absolutely any way.
David K
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The app's just great! All I have to do is enter the topic in the search bar and I get the response real fast. I don't have to watch 10 YouTube videos to understand something, so I'm saving my time. Highly recommended!
Sudenaz Ocak
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In school I was really bad at maths but thanks to the app, I am doing better now. I am so grateful that you made the app.
Greenlight Bonnie
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very reliable app to help and grow your ideas of Maths, English and other related topics in your works. please use this app if your struggling in areas, this app is key for that. wish I'd of done a review before. and it's also free so don't worry about that.
Rohan U
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I know a lot of apps use fake accounts to boost their reviews but this app deserves it all. Originally I was getting 4 in my English exams and this time I got a grade 7. I didn’t even know about this app three days until the exam and it has helped A LOT. Please actually trust me and use it as I’m sure you too will see developments.
Xander S
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THE QUIZES AND FLASHCARDS ARE SO USEFUL AND I LOVE THE SCHOOLGPT. IT ALSO IS LITREALLY LIKE CHATGPT BUT SMARTER!! HELPED ME WITH MY MASCARA PROBLEMS TOO!! AS WELL AS MY REAL SUBJECTS ! DUHHH 😍😁😲🤑💗✨🎀😮
Elisha
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This apps acc the goat. I find revision so boring but this app makes it so easy to organize it all and then you can ask the freeeee ai to test yourself so good and you can easily upload your own stuff. highly recommend as someone taking mocks now
Paul T
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