About This Chapter
Microeconomics & Macroeconomics Overview - Chapter Summary
Enjoy entertaining lessons you can review at home or on-the-go to get a comprehensive overview of microeconomics and macroeconomics. Developed by experts in the field, lessons boost your knowledge of capital resources, opportunity cost, economic incentives and much more. Completing this chapter will ensure you're able to do the following in no time:
- Differentiate between microeconomics and macroeconomics
- Define capital resources and natural resources
- Explain the challenges economists face when allocating resources
- Discuss the scarcity and utility of microeconomic resources
- Share the meaning of economics as it relates to the concept of scarcity
- Provide the definition of opportunity cost
- Detail how economic incentives influence scarce resources
- List the short- and long-term costs of alternative uses for scarce resources
Access lessons in this chapter as videos or full transcripts. Review them in any sequence and revisit them when necessary to ensure you fully comprehend microeconomics and macroeconomics concepts. Expand your knowledge by submitting lesson topic questions using the Ask Our Experts feature in the Dashboard. Gauge your comprehension with short self-assessment quizzes and a practice chapter exam.
1. Microeconomics vs. Macroeconomics
In this lesson, we learn how economics touches every aspect of human life. Focusing on the central ideas of scarcity and utility, we see how economics plays out in its two largest fields, microeconomics and macroeconomics.
2. What Are Capital Resources? - Definition & Examples
The manufacturing process varies widely for businesses creating all types of goods, though all utilize resources. This lesson explains what capital resources are, how they are essential to the production of goods, and the difference between capital resources and raw materials.
3. What Are Natural Resources? - Definition & Types
Natural resources are materials provided by the Earth that humans can use to make more complex (human-made) products. In this lesson, you will learn some examples of natural resources and how to classify them.
4. Understanding the Challenge of Resource Allocation
By now, you've probably figured out that all resources are scarce. But how do we allocate resources to make the most of that scarcity? This lesson explains how economists allocate resources, as well as three of the major philosophies influencing such choices.
5. Microeconomic Resources: Scarcity & Utility
For economics to work, we must assume that resources are scarce and that people will work to secure the greatest utility possible. This lesson explains both scarcity and utility and what they mean for people everywhere.
6. Economic Scarcity and the Function of Choice
Discover the foundation of the social science of economics as we explore the basic economic problem of scarce resources and unlimited wants using key definitions that create a framework for understanding everyday behavior in a nation.
7. Opportunity Cost: Definition & Real World Examples
Learn the most important concept of economics through the use of real-world scenarios that highlight both the benefits and the costs of decisions. Opportunity cost is a simple yet powerful principle that reveals how to make the best economic decisions possible, and it explains why people make the choices they do.
8. Economic Incentives: Definition & Examples
What motivates people to work or start a business? In this lesson, you'll learn about economic incentives and related concepts, and be provided some examples along the way. You'll also have a chance to reinforce your knowledge with a short quiz.
9. Influence of Economic Incentives Over Scarce Resources
After reading this lesson, you'll learn that an economic incentive can create scarcity. You will also learn how incentives affect the use of scarce resources.
Earning College Credit
Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.
To learn more, visit our Earning Credit Page
Transferring credit to the school of your choice
Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.
Other chapters within the PLACE Social Studies: Practice & Study Guide course
- World History Through the 1500's
- World History from the 1500s to the 1700s
- Mid-18th Century to Present Day World History
- Pre-Colonial America
- Colonizing the New World & the Start of a New Nation
- America's Early Years
- America from the Civil War to WWI
- The United States in the 20th Century
- The Evolution of American Culture in the 20th Century
- Geographic Tools & Regions
- Human Population Patterns
- Humans & Environmental Impact
- Historical Geography & Contemporary Issues
- The United States Constitution & Government
- Structure of the Different Levels of U.S. Government
- Colorado History & Law
- Political Relationships & the United States
- Economic Systems & Activity
- Exchange & Trade Relationships
- Psychology, Sociology & Anthropology Basics
- Behavioral & Social Science Basics
- Writing & Research for Social Studies
- PLACE Social Studies Flashcards