By Donald Rutherford
An A-Z of up to date economics in all its varieties, Economics: the most important Concepts is a reasonable, obtainable reference for college students, teachers and economists at each point. The key topics explored include:
- competition and monopoly
- development economics
- game theory
- property rights
Fully cross-referenced with broad courses to additional examining, this can be the basic accomplished pocket connection with the information, concerns and perform of economics in the twenty-first century.
Read Online or Download Economics: The Key Concepts (Routledge Key Guides) PDF
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Extra resources for Economics: The Key Concepts (Routledge Key Guides)
This ‘micro-credit’ has permitted the borrowing of small sums to start up businesses. Increasingly microcredit has been recommended as a route to economic development. The very poor, women and other groups suffering discrimination are given access to finance for the first time. Credit rationing is used by monetary authorities to achieve an optimal distribution of credit. It can be used as an alternative to interest rate changes. Some borrowers have limited access to finance so for social reasons there can be special credit deals, for example to buy housing.
The array of corruption techniques is great. There can be off balance sheet accounting to disguise the extent of a government’s debt, and the continuance of a governmental body without acceptable auditing, such as the European Commission: such deception gives corruption a chance to flourish. Corruption is a function of size. It is larger contracts, especially for construction projects, which give much scope for hiving off funds illegally. Smaller organisations have little scope for the corrupt to benefit, hence the attractions of employment in major banks.
The homogeneous product assumption requires that all buyers regard the product as identical, even if there are some differences in, for example, its chemical composition. The elasticity of the demand curve for each firm will be horizontal, perfectly elastic as every firm’s output is regarded as identical to the others’; the demand curve for the industry will be downward sloping with some inelasticity because by definition every industry has a distinct product. If there were product heterogeneity, individual sellers would have some monopoly power.