RAYOS, VALLEJOS

ECONOMICS,
POLITICAL
ENVIRONMENT
AND
SUSTAINABILITY
ECONOMICS

is a social science with stakes in

many other fields, including
political science, geography,
mathematics, sociology,
psychology, engineering, law,
medicine and business.
Economics is the study of
scarcity and its implications for
the use of resources, production
of goods and services, growth of
production and welfare over
time, and a great variety of other
complex issues of vital concern
to society.
MICROECONOMICS

studies how individual consumers and firms

make decisions to allocate resources. Whether a
single person, a household, or a business,
economists may analyze how these entities
respond to changes in price and why they
demand what they do at particular price levels.
analyzes how and why goods are valued
differently, how individuals make financial
decisions, and how they trade, coordinate, and
cooperate.
MACROECONOMICS

is the branch of economics that studies the

behavior and performance of an economy
as a whole. Its primary focus is the recurrent
economic cycles and broad economic
growth and development.
It focuses on foreign trade, government
fiscal and monetary policy, unemployment
rates, the level of inflation, interest rates, the
growth of total production output, and
business cycles that result in expansions,
booms, recessions, and depressions.
ECONOMIC
INDICATORS
GROSS DOMESTIC
PRODUCT (GDP)

considered the broadest measure of a

country's economic performance. It
calculates the total market value of all
finished goods and services produced
in a country in a given year.
RETAIL SALES

Sampling retailers across the country

acts as a proxy of consumer spending
levels. Consumer spending represents
more than two-thirds of GDP, proving
useful to gauge the economy's
general direction.
INDUSTRIAL
PRODUCTION

report, released monthly by the Federal

Reserve, reports changes in the production
of factories, mines, and utilities in the U.S.
One measure included in this report is the
capacity utilization ratio, which estimates
the portion of productive capacity that is
being used rather than standing idle in the
economy
EMPLOYMENT DATA

any information about an identified or identifiable

individual that is obtained in the context of such
person’s working relationship with Servicer
Performance Guarantor, Servicer or any Affiliate.
Such persons include, for example, job applicants,
employees (whether temporary or permanent),
contingent workers, retirees, and former
employees, as well as any dependents or others
whose Personal Data have been given to Servicer
Performance Guarantor or Servicer or any Affiliate
by such persons.
CONSUMER PRICE
INDEX (CPI)

is a measure of the average change over

time in the prices paid by urban consumers
for a market basket of consumer goods and
services. Indexes are available for the U.S.
and various geographic areas.
Primitivism
individuals produced necessities
from building dwellings, growing
crops, and hunting game at the
household or tribal level.

Feudalism
defined by the lords who held land
and leased it to peasants for
ECONOMIC
production, who received a promise SYSTEMS
of safety and security from the lord.

Capitalism
a system of production where
business owners organize resources
including tools, workers, and raw
materials to produce goods for
market consumption and earn
Socialism
a form of a cooperative production
economy. Economic socialism is a
system of production where there is
limited or hybrid private ownership of
the means of production. Prices,
profits, and losses are not the
determining factors used to establish
who engages in the production, what ECONOMIC
to produce and how to produce it.
SYSTEMS

Communism
holds that all economic activity is
centralized through the coordination of
state-sponsored central planners with
common ownership of production and
distribution.
POLITICAL
ENVIRONMENT

The study of political theories

and ideas related to the
environment;
The examination of the
environmental stances of both
mainstream political parties and
environmental social
movements; and
The analysis of public
policymaking and
implementation affecting the
environment, at multiple geo-
political levels.
SUSTAINABILITY

refers to the ability to maintain or support

a process continuously over time. In
business and policy contexts, sustainability
seeks to prevent the depletion of natural
or physical resources, so that they will
remain available for the long term.
HOW
SUSTAINABILITY
WORKS
emphasize the future effect of any given policy or
business practice on humans, ecosystems, and the
wider economy. The concept often corresponds to
the belief that without major changes to the way the
planet is run, it will suffer irreparable damage.
As concerns about anthropogenic climate
change, biodiversity loss, and pollution have
become more widespread, the world has shifted
to embrace sustainable practices and policies,
primarily through the implementation of
sustainable business practices and increased
investments in green technology.
economic sustainability
focuses on conserving the natural
resources that provide physical inputs
for economic production, including both
renewable and exhaustible inputs.

environmental sustainability
adds greater emphasis on the life
3 PILLARS
support systems, such as the atmosphere OF
or soil, that must be maintained for
economic production or human life to
SUSTAINA
even occur. In contrast, BILITY

social sustainability
social sustainability focuses on the
human effects of economic systems,
and the category includes attempts to
eradicate poverty and hunger, as well
as to combat inequality.
ECONOMIC SUSTAINABILITY

refers to a company's ability to continue its

operations over a long-term horizon. In order to
be economically sustainable, a company must
be able to ensure that it will have adequate
resources, workers, and consumers for its
products into the distant future.
thank you!