AS Economics Unit 1 Definition

Scarcity

Production Probability Frontier

Opportunity cost

Specialization

Division of labour

Positive statement

Normative statement

Nominal value

Real value

Demand

Supply

Free market economy

Price Mechanism

Planned economy

Mixed economy

Price elasticity of demand (Ped)

Price elasticity of supply (Pes)

Income elasticity of demand (YED)

Inferior good

Normal good

Cross elasticity of demand (XED)

Substitute good

Complementary good

Indirect tax

Subsidy

Market failure

External cost

Private cost

Social cost

External benefit

Private benefit

Social benefit

Merit good

Demerit good

Public good

Non-rivalry

Non-excludability

Free rider problem

Geographical immobility

Occupational immobility

Structural unemployment

Asymmetric information

Adverse selection

Moral Hazard

Principal agent problem

Minimum price

Maximum price

Guaranteed price

Buffer stock scheme

Government failure