1 / 11

How People Make Decisions Mankiw 10 Principles

How People Make Decisions Mankiw 10 Principles. 1. People Face Tradeoffs. 2. The cost of something is what you give up to get it. 3. Rational People Think at the margin. 4. People respond to incentives. 5 . Trade can make everyone better off.

sinead
Download Presentation

How People Make Decisions Mankiw 10 Principles

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. How People Make DecisionsMankiw 10 Principles

  2. 1. People Face Tradeoffs

  3. 2. The cost of something is what you give up to get it

  4. 3. Rational People Think at the margin

  5. 4. People respond to incentives

  6. 5. Trade can make everyone better off

  7. 6. Markets are usually a good way to organize economic activity

  8. 7. Governments can sometimes improve market outcomes

  9. 8. A country’s standard of living depends on its ability to produce goods and services

  10. 9. Prices rise when the government prints too much money

  11. 10. Society faces a short-run tradeoff between inflation and unemployment

More Related