Document Uploaded by J.D.

Lim

FOUR FUNDAMENTAL ECONOMIC QUESTIONS 1. What to produce? Buyers communicate what they want when they make purchases. Sellers provide goods and services based on demand and price. (Kung ano ang sabihin ng mga buyer o gusto nila, iyun ang ipoproduce at gusto na ibenta ng mga seller. Nakadepende lagi ito sa demand at kung ano ang gusto ng mga bibili.) 2. How to produce? Buyers increase purchases with lower prices. Sellers seek to provide goods and services efficiently and at the same time avoid surpluses. (Ung mga gumagawa ng products ay mag-iisip ng paraan para makapagbenta sila ng mga murang produkto. Ung paraan ng paggawa nila ng produkto ay gagawing mas mura para maibenta nila ito ng mura din. Kaya ganito kasi gusto nga ng mga buyer ng murang bilihin at ung seller naman eh ung mabilis maubos na mga produkto.) 3. How much to produce? Production is pursued in a manner which ensures the least waste and maximizes efficiency, as to therefore maximize profit. Producers combine resources (consumers sell factors of production) to make products they can sell. Price of factors of production influence producer decisions to make or not to make a product. (Parang ung pangalawa din pero ito mas sa parte ng manufacturer. Nakabatay din ito sa kung malakas ba ang demand sa produkto nila. Pag malakas, doon sila sa mas murang raw materials, mas murang paraan ng production para mas malaki ung kita nila at maibenta nila ng mura ung produkto.) 4. For whom to produce? Prices help determine shortages and surpluses. Prices above the market clearing price will fall causing sellers to produce less and buyers to purchase more; prices below the market clearing price will rise causing sellers to produce more and buyers to purchase less. (Sino ang bebentahan ng produkto? Kung pang-masa ito, dapat na mas mura. Kung pang-high end, okay lang ang medyo mahal.) CONSIDERATIONS: 1.) that there is scarcity whenever we have to make a choice between different uses to which resources can be put; (Limitado lang ung resources na nasa paligid kaya dapat na malaman kung para saan ito gagamitin at kung ano ang mga priorities. Example: May tanim ka na isang puno ng buko. Puwede mo itong gawin sa iba’t ibang bagay pero dapat alam mo ung ano ang mas mahalaga: putulin ito para gawing kahoy o alagaan para maka-ani ka ng bunga nito.) 2.) that our limited resources and technology set a limit to how much of any good or service that we can produce (Kung hanggang saan lang ang abot ng teknolohiya, hanggang dun lang din ang kayang magawa nito para gumawa ng produkto. Pero di gaya ng resources, puwede pa na pagbutihin ang teknolohiya para makapag-produce ng mas marami pa.)

Some Rights Reserved

http://projectdennio.blogspot.com/

Document Uploaded by J.D. Lim

3.) that we can increase the production of one good only by diverting resources from another good, so that we suffer an "opportunity cost," that is, the loss of the opportunity to enjoy the other good. (Dahil limitado ang resources, maaari na kung dalawa ang ginagawa mo na produkto pero mas mabenta ung isa, dun mo na lang ibubuhos lahat ng investment mo dahil mas kikita ka dun.)

Some Rights Reserved

http://projectdennio.blogspot.com/

Master your semester with Scribd & The New York Times

Special offer for students: Only $4.99/month.

Master your semester with Scribd & The New York Times

Cancel anytime.