Tuesday, January 24, 2012

Paper money in the economy


How it started the bill that we know and what we use today? At some point in the Middle Ages according to a history text book, which the role of paper money in the economy, people started bringing their gold to the goldsmiths' for safekeeping. Goldsmith is then issued a receipt for the gold.

Monday, January 16, 2012

Monopoly


Monopoly problems appear to be important in economics. Monopoly may be difficult to control, partly because of the monopoly is often more efficient manner and is more widely known than any competitor, and partly because many of the industry can only support a single manufacturer. (Please note that the restaurant or newsagents only in a small town in this situation: Monopoly does not need much).

Tuesday, January 10, 2012

Utilizing the factors of production


Labor, land, and capital in the call of factors of production due to these factors provide a means by which goods and services produced. Some economists adding a fourth factor: the business (enterprise). This is because the labor, land and capital alone will not produce anything unless there is someone ready to buy and organize for action. People who carry out this task we might think of as business people, technically known as entrepreneurs (entrepreneurs). Entrepreneurial activity is to utilize the factors of production.

Tuesday, January 3, 2012

Factors of Production


After discussing the types of economic systems in which production is organized. What are the factors of production ? Now let's see how the actual goods and services produced. Essence is clear [employment]. Nature may provide the raw material, even some of the final product, but labor is still needed to make it usable, although it was just a pick fruit from trees.