Economics

Economics is the social science that analyzes theproduction, distribution, and consumption of goods andservices.

Opportunity cost is the cost related to the second best choice available to someone who has picked among several mutually exclusive choices.

Marginalism refers to the use of marginal concepts ineconomic theory. Marginalism is associated with arguments concerning changes in the quantity used of a good or of a service, as opposed to some notion of the over-all significance of that class of good or service, or of some total quantity thereof.

Efficient market is one in which securities prices reflect all available information. This means that every security traded in the market is correctly valued given the available information.

Scarcity is the fundamental economic problem of having seemingly unlimited human needsand wants, in a world of limited resources. It states that society has insufficient productive resources to fulfill all human wants and needs

Sunk costs are retrospective (past) costs that have already been incurred and cannot be recovered. Sunk costs are sometimes contrasted with prospective costs, which are future costs that may be incurred or changed if an action is taken. Both retrospective and prospective costs may be either fixed (that is, they are not dependent on the volume of economic activity, however measured) or variable (dependent on volume).

market is any one of a variety ofsystems, institutions, procedures,social relations and infrastructureswhereby parties engage in exchange.

Efficient markets are markets in which the flow of relevant information regardinginvestment options is easily accessed and reliable. In a market situation of this type, anyone who is involved in trading activity is able to make use of the information to assess the past performance of the security in question.

Microeconomics is a branch of economics that studies the behavior of how the individual modern household and firms make decisions to allocate limited resources.

Macroeconomics is a branch ofeconomics dealing with the performance, structure,behavior, and decision-making of the entireeconomy. This includes a national, regional, or global economy.

National Income he total value of newly created material production, or the corresponding portion of gross national product, computed annually. If all material expenditures incurred during the year are subtracted from gross national product—itself the total yield of material production during a given year—what remains is the newly created value for the year, that is, national income. In physical terms, annual national income is the sum of all consumer goods and means of production used for the extending of production that have been newly produced during the year.

Net national income (NNI) is an economics term used in national income accounting. It can be defined as the net national product (NNP) minus indirect taxes. Net national income encompasses the income of households, businesses, and the government.

Gross National Product (GNP) is the market value of all products and services produced in one year by labor and property supplied by the residents of a country. Unlike Gross Domestic Product (GDP), which defines production based on the geographical location of production, GNP allocates production based on ownership.

Gross domestic product (GDP) refers to the market value of all final goods and services produced within a country in a given period. It is often considered an indicator of a country'sstandard of living

Positive economics is the branch of economics that concerns the description and explanation of economic phenomena.[1] It focuses on facts and cause-and-effect behavioral relationships and includes the development and testing of economics theories.[

Normative economics is that part of economics that expresses value judgments (normativejudgements) about economic fairness or what the economy ought to be like or what goals ofpublic policy ought to be.

Descriptive Economics, or Positive Economics, is the branch of economic inquiry that analyzes and explains economic phenomena as they are, without making any statements about how they ought-to be.

Occam's razor (or Ockham's razor[1]), often expressed in Latin as the lex parsimoniae, translating to law of parsimony, law of economy or law of succinctness, is a principle that generally recommends selecting the competing hypothesis that makes the fewest new assumptions, when the hypotheses are equal in other respects.[2] For instance, they must both sufficiently explain available data in the first place.

Production is the act of supplying a desired output. The act may or may not include factors of production other than labor. Any effort directed toward