APPLIED

ECONOMICS 12
Learning Competency from the
MELC’s

Differentiate economics as social science

and applied science in terms of nature and
scope. (ABM_AE12-Ia-d-1-2)
Specific Objectives

a. Identify the concerns and types of

economics.
Let’s Review!
1. What is economics?
2. What is the difference between
microeconomis and macroeconomics?

3. What others sciences is related to economics?

Let’s have the
discussion!
Concerns of
Economics
1. Production- is the use of inputs for
generating output.
• Inputs are commodities or services that
are used to produce goods and services.

• Output are the different goods and services

which come out of production process.
*Society have to decide what outputs will be
produced and in what quantity
2. Distribution- Distribution is the total product
distribution by members of society. It is
linked to the issue of for whom goods and
services are to be produced.

3. Consumption- is the use of products or

services. Consumption is the final conclusion
of economic operation.

4. Public finance- is concerned with government

spending and revenue. Economics studies
how the government collects money by taxes
and its borrowing.
Types of Economics
1. Household Economics – the family is the most
popular use of economics. At this stage,
someone who knows the economic principles
would be able to improve the functioning of the
household.

2. Business Economics – when an individual or a

group of people starts to work, they are part of
the business economy system in their
workplace. In this form, you're dealing with
rent, salaries, income, and others.
3. National Economics – Economic factors that
influence the country as a whole. Deals with the
control of a nation's revenue, spending, wealth
or capital.

4. International Economics – The highest stage

of economic operation concerning the industry
of one country with other countries such as
trade, tourism, exchange rates.
 The Economic
Agents/Stakeholders
1. Consumers - are individuals or companies
purchasing goods or services. They are
individuals or other economic organizations
making use of a good or service. In addition,
they don't sell on the item they purchased
2. Producers- Firms who produce goods and
services. They may be individual
entrepreneurs (self-employed) or large
multinational companies.
3. Government/ the public sectors- Attempt to
maximize the well-being of society

* The agents interact in a particular territorial,

social, natural and/or cultural framework which
determines their relationships within the
market.
BASIC TERMS TO
BETTER
UNDERSTAND
ECONOMICS
Goods- anything used to satisfy your needs and
wants.

*tangible goods- a physical object or product

that can be touch

*intangible goods- a product that cannot be

touch, like insurance policy
Classification of
Goods
Let’s answer the questions:

1. What are the concerns of economics?

2. What are the types of economics?
3. What are the different economic agents?
4. What is the difference between tangible and
intangible goods?
Let’s have your activity!

“Pick Me!”
What have you learned
from the lesson?
Let’s have a Quiz!
True or False:
1. Inputs are the different goods and
services which come out of
production process.
2. Consumption is the use of products
or services. Consumption is the final
conclusion of economic operation.
True or False:
3. Business Economics is the highest
stage of economic operation concerning
the industry of one country with other
countries such as trade, tourism,
exchange rates.
4. Producers are firms who produce
goods and services. They may be
individual entrepreneurs (self-
employed) or large multinational
True or False:
5. Production is the use of outputs
for generating input.

6. Output are the different goods

and services which come out of
production process.
True or False:
7. Microeconomics is concerned
with the performance of the
economy as a whole or its major
aggregates.

8. Intangible goods is a physical

object or product that can be touch
True or False:
9. Tangible goods is a product that
cannot be touch, like insurance policy.

10. National Economics is an

economic factors that influence the
country as a whole. Deals with the
control of a nation's revenue, spending,
wealth or capital.
Classify the following to what
classification of goods.

11. Alaxan FR
12. Honda Wave 125
13. LG Washing Machine
14. Bulldozer
15. BDO Building
Classify the following to what
classification of goods.

16. Croissant Bread

17. Orange Juice
18. Paracetamol
19. SM Mall of Asia
20. Toyota Car
Classify the following to what
classification of goods.

16. Croissant Bread

17. Orange Juice
18. Paracetamol
19. SM Mall of Asia
20. Toyota Car
Compare Me!
Direction: To further check your
understanding about the topic, write an essay
on how will you compare and contrast
microeconomics and macroeconomics.
Examine the difference between the two and
give examples to better support your answer.
A rubric will be used to determine your score.
(Encoded, A4 Size, 12 Font Size, Aerial
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