Microeconomics
What is Microeconomics? - Scarcity is what drives microeconomics - Constraint optimization exercises where economic agents (firms or individuals) try to make themselves as well off as possible given their constraints. - It's about trade-offs. How do you make trade-off things to make you as well off as possible. - Opportunity costs is an important concept in microeconomics - Every action or inaction has a cost in that you could've been doing something else instead. - If you buy a shirt, you could've bought pants - If you stayed at home and watched TV, you could've been out working. - Everything you do has a next best alternative you could have done instead. - They get referred to as the dismal science - because their whole point is that nothing is free. There's always a trade-off, there's always an opportunity cost. - your constraint optimization means you're going to have to pass up one thing to do another. - because of...