Economics Homework One Answers - Student Seventeen

Rcarlton

1\. An example of a good could be a washing machine while an example of a service could be a washing machine repairman.

Good.

2\. I beleive eating at McDonalds would bring about more transactions as you would have to pay more for gas, higher food costs, some tax etc. It's simply cheaper to buy in bulk and cook yourself than eating out.

Fine, except costs of food itself are not a transaction cost. (Minus 1)

3\. Scarcity is anything that has or could have a demand, and is useful to an economy of any sort. If there was a football with an NFL players signature on it for sale,and many people want to own it, the seller could raise the price high above its real value, this makes the ball scarce.

Good analysis.

4\. The invisible hand is the driving force usually within yourself that makes you work harder or longer for a more successful business or better wages. An example is a farmer who plants and tills more crops and land than usual to earn more money or feed himself as well as selling his crops for wage increase.

Need to explain how that benefits others.

5\. Luke 12:13-21 explains how if you build a better, bigger barn and fill it with your crops, then lay back and enjoy yourself without working anymore, who knows how long your enjoyment might last. Your barn might burn or your crops ruin. The rich man should have worked regularly, keeping busy, and given to the Lord. We should not store up treasures on earth where moth and dust ruin, but give to God and he will provide our every need. The Gospel of Matthew has more economic parables than Mark because Matthew was a tax collector (Jewish, I think,) and he could relate to these economic parables.

This answer is OK but falls short on substance in specifically answering the question, such as distinguishing between Matthew and Mark and describing economic and spiritual points to the parable. (Minus 1).

6\. "Carpe Diem" is "the enjoyment of the pleasures of the moment without concern for the future". For an economic example: you see an excellent car half priced that would be a great buy but have no need for it because you can't get a drivers liscence for another year. Sieze the moment and invest in the car now instead of paying a higher price later on. In doing so you are probably saving a lot of money and getting that purchase out of the way.

Good.

58/60. Try reading the lecture more carefully for this upcoming week.--Andy Schlafly 15:23, 13 September 2009 (EDT)