Economics

What is efficiency?

• Efficiency is the amount of waste produced in a process.
• Use of the smallest amount of resources to produce the greatest amount of output.

• Efficiency is the speed at which a process is completed.
• Efficiency is the total input in a process.

Division of Labor/Specialization

• Division of Labor/Specialization helps businesses to be more efficient.

• Division of Labor/Specialization complicates tasks.
• Division of Labor/Specialization reduces overall output.
• Division of Labor/Specialization is irrelevant to productivity.

Specializing

• Specializing is the process of generalizing skills.
• Specializing means avoiding any specific field.
• Specializing involves working in multiple areas at once.
• Individuals who do one task many times a day are more proficient than someone doing 100 different tasks in a day

Producers and consumers agree to provide one type of item in return for another.

• Exchange

• Barter

• Money

• Credit

Barter

• Trade this for that and a little extra

• Exchange of one good for another

• Transaction
• Barter

What is credit?

• Credit is the ability to borrow money or access goods and services with the promise to repay in the future.
• Credit is a form of currency used for online transactions.
• Credit refers to the amount of cash one has in their bank account.
• Credit is a type of investment that guarantees returns.

The value of currency expressed in terms of another

• Exchange rate
• Foreign exchange
• Currency conversion
• Monetary value

Stronger US Dollar means more importing and less

• increased exports
• higher domestic prices
• reduced foreign investment
• exporting

weaker US dollar means more exporting and

• less exporting
• more domestic production
• less importing
• more importing

Product Market

• represents the exchange of goods and service in the economy

• Product Development
• Where things are bought

• Product Strategy