Neuroeconomics is the study of how people make decisions, focusing on the intersection of neuroscience, economics, and psychology. It uses brain imaging and other neuroscience techniques to study decision-making processes, shedding light on how the brain processes rewards, risks, and uncertainties in economic choices. Key Characteristics / Core Concepts Combines insights from neuroscience, economics, and … Read more
Mercantilism is a national economic policy that aims to maximize the accumulation of wealth and power through government regulation of trade and industry. It emphasizes exports over imports and the accumulation of precious metals like gold and silver. Key Characteristics / Core Concepts Government Intervention: Strong state control over the economy, including trade policies and … Read more
Finance is the management of money and includes activities like investing, borrowing, lending, budgeting, saving, and forecasting. It encompasses the study of how individuals, businesses, and governments allocate resources over time. Key Characteristics / Core Concepts Investment: Allocating capital (money) with the expectation of generating a return. Borrowing: Obtaining funds with a promise to repay, … Read more
Economic theory is a collection of ideas and models that attempt to explain how economies function. It provides a framework for understanding economic phenomena, such as production, distribution, and consumption of goods and services. Key Characteristics / Core Concepts Scarcity: Resources are limited, forcing choices about how to allocate them. Opportunity Cost: The value of … Read more
Economics is the social science that studies how societies allocate scarce resources to satisfy unlimited wants and needs. It examines how individuals, businesses, and governments make decisions regarding the production, distribution, and consumption of goods and services. Key Characteristics / Core Concepts Scarcity: The fundamental economic problem; there are limited resources to satisfy unlimited wants. … Read more