Scarcity

The condition in which our want are greater than the limited resources available to satisfy those wants.

Economics

The science of how individuals and societies make choices in the presence of scarcity.

Alfred Marshall

Mathemetician turned Economist

Paul Samuelson

Physicist turned Economist

Karl Marx

Philosopher turned economist

Thomas Malthus

English Aristocratic Landowner

To debunk revolutionary Jacobin Fervor

John Maynard Keynes

Followed in his father's footsteps.

Played an intrumental role in saving capitalism during the great depression and post WWII period

Keynes said that.....

the ideas of economists and political philosophers, both when they are right and

when they are wrong, are more powerful than is commonly understood. Indeed, the world is ruled by little else. Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually slaves to some defunct economist

Orthodox Economic Science

Economic theories and practices accepted by most professional economists

Heterodox Economic Science

Economic theories and practices accepted by a relatively small minority of professional economist

Microeconmics

The branch of economics that deals with human behavior and choices as

they relate to relatively small units of economic endeavor - those involving an individual, a firm, an industry, a single market.

Macroeconomics

The branch of economics that deals with human behavior and choices as

they relate to highly aggregate markets (such as the goods and services market) or the entire economy).

Inductive Theories

Inductive theories involve the act or process of inferring from the particular to the general.

Deductive Theories

Deductive theories involve the process of deriving conclusions from logical premises.

Fallacy of Composition

The erroneous view that what it is good or true for the individual is good or true for the group or society

Post hoc ergo propter hoc

Because A comes before B, A causes B

Most closely associated with deductive theories

Asscociation-Causation Fallacy

The erroneous view that because two events are correlated, one event causes the other.

Economic science i.e.

theory-model-testing

Positive Statement

A statement that can be validated or tested.

Normative Statement

A statement that cannot be validated or tested.

A step by step logical process

Deductive theorizing

Which of the following is not classified as a system by which inputs are turned into outputs?

Constitutional democracy

When considered in terms of a factor of production, petroleum would be classified as

Land

Which of the following would not be classified as infrastructure? Office buildings, harbors, roads, or bridges.

Office Buildings