Nama : Siti Rohayantini

Nim. : 022.02.1.0040

Mk. : Bahasa Inggris

Economic definition

The economy comes from the Greek word oikonomia which is Coined by Xenophone (440 -355 BC),
derived from the word oikos (household) and nomos (rules).So the economy is the rules for
managing a good household In family life,company, country and relationshipsInternational

Economics is a social science with many definitions and one of them Is a study of:

a. Individual and societal behavior in choosing ways Using scarce resources (natural, human
and capital).
b. and choose alternative uses (productive and non-productive)
c. In order to produce various commodities (goods and services)
d. to then flow it (distribution and transportation)
e. both now and in the future (strategy, planning),
f. to individuals and groups in society (market)

The goals of economics are:

a. predict various economic events

b. and make policies

c. that will prevent or fix various problems

d. such as: inflation, inflation, or wastage in the economy

Economics is divided into:

a. Macroeconomics studies

1. aggregate output

2. job opportunities

3. general price level

The outline of the policy on macro issues includes two main issues

That is :

1. Short-term or stabilization problems

How to control the national economy to avoid

Three macro diseases namely:

a) Inflation

b) Unemployment

c) Inequality in the balance of payments

In the short-term analysis of factors “which are considered constant”

a) The total capacity of the national economy

b) Total population and labor force

c) Existing social, political and economic institutions

In terms of short-term policy theory are:

a) Increase the money supply

b) Reducing loan interest rates

c) Imposing import taxes

d) Lower sales tax

e) Increasing government spending

f) Issuing state bonds

Practical steps, can be done by:

a) Streamlining the flow of distribution of raw materials, energy

b) Encouraging manufacturers to increase production capacity,

by shift work or overtime

In a developing country like Indonesia, it is often policy

Short term can’t solve long term problems

Instead burdening long-term policies due to structural disease

Indonesia’s economy (it is not clear what system it adheres to.

But society tends to anarchy)

The four major macroeconomic markets are:

a) Goods market

b) Money market

c) Labor market

d) Overseas/global markets

e)

The five macroeconomic actors are:

a) Household

b) Manufacturers

c) Government

d) Financial institutions

e) Other countries/globally
HOUSEHOLD

1. Receiving income from producers in the form of wages, dividends,Land/building lease

2. Receiving income from financial institutions in the form of interest onSavings
3. Spending the income on the goods/services market (egConsumer)
4. Set aside the rest of the income for savings in the institutionFinance
5. Pay taxes to the government
6. Entering the money market as demanders out of necessity They will cash for eg day to day
transactions.

PRODUCER

1. Producing and selling goods/services (suppliers in the goods market)

2. Renting/using production factors owned by the groupHousehold for the production process
3. Determine the purchase of capital goods and stock of other goods (allasI enter the goods
market as a demander)
4. Credit compensation from financial institutions to finance their investments (as a demander
in the money market)
5. Paying taxes

FINANCIAL INSTITUTIONS

1. Receiving savings/deposits from households

2. Provision of credit and demand deposits (suppliers in the money market)

STATE/CENTRAL GOVERNMENT

1. Withdraw direct and indirect taxes

2. Spending state revenue to buy necessities Government (as a demander in the goods market)
3. Borrowing money from abroad
4. Renting labor (as a demander in the labor market)
5. Providing the demand for currency for the community (as a supplier In the money market)

OTHER COUNTRIES (GLOBAL)

1. Provision of the need for imported goods (as a supplier of goods in the market)
2. Buying our exports (as a requester in the goods market)
3. Providing credit to the government and domestic private sector
4. Buying goods from the market for the needs of the company’s branch inIndonesia (as
investors)
5. Entering the domestic money market as a channel for money (foreign exchange)

1.From abroad (as a supplier of funds) and as a requester for credit and Rupiah currency for the
needs of the company’s branches in Indonesia (demand for funds)

2.Long-term or growth problems

How to control in order to achieve harmony between growthPopulation, production capacity

and availability of investment funds.

This long-term problem is often neglected because of the “urgency”

Short-term problems that tend to tempt short-term goals

Length of the national economy.

b. Microeconomics studies:

economic behavior of individual decision makers such as

1. Consumers

2. resource owners: (land, natural resources, human resources, money)

3. manufacturer/business company

The scope of microeconomic theory always revolves around economic activities

Carried out by consumers and producers, both separately and together

The material studied in microeconomic theory is grouped into five sections

That is :

1. The theory of consumer behavior and demand

2. Production theory and production costs

3. The theory of determining the amount of output and price

4. Input pricing theory

5. General balance theory

The market has five main functions, namely:

1. increase value

2. Organizing production

3. Distributing goods

4. Organizing rationing

5. Maintain and prepare for future needs.

Indonesia, based on the Constitution and state philosophy (Pancasila) ideologically

Systems of socialism/cooperatives; but the facts show that the field

Economic, political and social tend to adhere to the concept of neo libera