Applied Economics Grade 12 ABM Past Paper PDF

Applied Economics Grade 12 ABM ALDEN A. BADILLOS Teacher  This picture is example of__? A. RESOURCES B. COMMODITIES  This picture is example of__? A. RESOURCES B. COMMODITIES  Resources and Commodity ECONOMIC RESOURCES are the fact...

Applied Economics Grade 12 ABM ALDEN A. BADILLOS Teacher  This picture is example of__? A. RESOURCES B. COMMODITIES  This picture is example of__? A. RESOURCES B. COMMODITIES  Resources and Commodity ECONOMIC RESOURCES are the factors used in producing goods or providing services. Ex. Labor, land, capital A COMMODITY is an economic goods and are most often used as inputs in the production of other goods or services.  This picture is example of__? A. WANTS B. NEEDS  This picture is example of__? A. WANTS B. NEEDS  Human Needs and Wants A human needs are something that you must have in order to live. Human wants are something that you wish to have to add comfort to your life  INTRODUCTION TO ECONOMICS Understand the basic economic OBJECTIVES: 01 concepts Differentiate Macro and Micro Appreciate the importance of 02 Economics 03 studying Economics What do you think are the reasons? Scarcity – refers to the limitation of resources. It is coupled with the fact that human wants and needs are unlimited. Scarcity means limitedness while shortage are products and services which are not available in the required quantity. What do you think will the government do? Economics refers to the effective management of scarce resources to satisfy unlimited human wants and needs. Economic Resources, also known as factors of production, are the resources used to produced goods and services. - Land - Labor - Capital - Entrepreneurship What economic resources is identified in the picture? A. LAND B. LABOR C. CAPITAL How economics differ from other discipline like Biology and Chemistry? Does Economics theory and concepts can be applied to real-world situations? How economics differ from other discipline like Biology and Chemistry? - Economics studies human behavior just like psychology and sociology. It studies society and how people behave and influence the world around them. That is why Economics is a Social Science. Does Economics theory and concepts can be applied to real-world situations? - Yes. Since economics studies human behavior how people behave, its analysis requires the application of certain economic concepts and tools to understand various economic issues and problems. And that is APPLIED ECONOMICS  ECONOMIC S MICROECONOMICS MACROECONOMICS  MACROECONOMI CS Branch of Economics that is concerned with the overall performance of the entire economy  MACROECONOMI CS - Focus on the overall flow of the goods and resources. - Expansion of productive capacity - Growth of National Income  MICROECONOMIC S Branch of Economics that is concerned with the behavior of individual entities such as the consumer, the producer, and the resource owner.  MICROECONOMIC S - Studies the decision and choices of individual - Focus on level of production, employment and income What branches of economics concerned more on the flow of goods and services from firm to the consumer and how resources move from the resource owner to the business firm? A. Macroeconomics B. Microeconomicvs  MICROECONOMIC S Is concerned with the behavior of individual entities such as the consumer, the producer, and the resource owner.  MACROECONOMI CS Is concerned with the overall performance of the entire economy. Since scarcity of resources is the central study of economics, it is necessary to allocate this resources properly. What are the economic problems of society? - What to produce and how much - How to produce - For whom to produce How these questions can be answered? It depend upon the nature of the economic system of that country. ECONOMIC SYSTEM - Traditional Economy - Command Economy - Market Economy ECONOMIC SYSTEM A. TRADITIONAL B. COMMAND C. MARKET  ECONOMIC SYSTEM TRADITIONAL ECONOMY – decisions are based on traditions and practices passed from generations to generations. - Primitive and backward civilizations (tribes) - Practice of barter in trading system ECONOMIC SYSTEM A. TRADITIONAL B. COMMAND C. MARKET  ECONOMIC SYSTEM COMMAND ECONOMY – this is the authoritative system wherein decision-making is centralized in the government or a planning committee. - Dictatorial - Socialist - Communist nation ECONOMIC SYSTEM A. TRADITIONAL B. COMMAND C. MARKET  ECONOMIC SYSTEM MARKET ECONOMY – this is the democratic form of government. Decisions on what good to produce are determined based on the demand and supply and prices depends on the people preferences and willing to pay in the market  Why do we need to study economics? a. Will help the students to understand why there is a need to budget and allocate the use of whatever resources are available b. To make rational decisions in spending money, saving part of it and even investing some of it c. Both a and b  Why do we need to study economics? Studying economics help also the students to take a look on how the economy operates and decide for themselves if the government officials and leaders are effective in trying to shape up the economy and formulate policies for the good of the nation. Thank You