Compilers, Assemblers, and Interpreters

The study of how individuals and societies make decisions about allocating scarce resources to satisfy wants and needs.

The condition where wants exceed the limited resources available.

What is given up when making a choice; the value of the next best alternative.

Decisions made by weighing the additional benefits of an action against the additional costs.

Simplified representations of reality used to understand and predict economic behavior.

Focuses on broad issues such as economic growth, inflation, unemployment. Concerned with the overall performance of the economy.

Focuses on individual decision-making of consumers, firms, and specific markets.

Statements based on facts and can be tested, avoiding value judgments.

Statements that include value judgments and opinions which cannot be tested.

Illustrates the trade-offs facing an economy that produces only two goods. The graph shows the maximum quantity of one good that can be produced for any given quantity produced of the other.