| A | B |
|---|
| Economy (Greek) | "one who manages a household" |
| Economics (Goldsmith) | the study or science of production, distribution, and consumption |
| Economics (Miller) | the study of how society manages its scare resources |
| Consumer Economics | the study of how people deal with scarcity, fulfill needs, and select among alternative goods, services, and actions. |
| Capitalism | a social system based on the recognition of individual rights |
| Consumerism | the belief that goods give meaning to individuals and their roles in society |
| Malow's Hierarchy of Needs | Physical, Safety, Relational, Esteem, Self-Actualization |
| Material Resources | non-human: money, water, etc. |
| Human Resources | Personal Characteristics: Intelligence, personality, height, previous experience |
| Consumption Process | Awareness, Thinking, Planning, Implementing, Evaluating |
| Awareness | A stimulus that lets us know that something is needed or desired |
| Thinking | the mental exploration of the possibilities |
| Planning | Deciding order of action need to make the purchase a relality |
| Implementing | Price comparison, or actual purchase |
| Evaluating | spend time reflecting on your outcome. |
| Factors that influence consumers | Economics, history, consumer culture, individual traits, physiological needs, desire for tech, politics |
| Law of Supply (Goldsmith) | As the overall supply of a good increases, it's price decreases |
| Law of Supply (Miller) | price and quantity supplied move in the same direction |
| Quanitity Supplied | the amount of a certain product producers are able/willing to sell at each price |
| Why supply curves shifts | Prices of other goods, prices of relevant inputs, technology |
| Law of Demand (Goldsmith) | consumers will buy a greater quantity of a product at a lower price than at a higher price |
| Law of Demand (Miller) | quantity demanded and price move in opposite directions |
| Quantity Demanded | the amount of goods which would be demanded at a particular price |
| Why Demand Curve Shifts | complements, substitutes, and income |
| Normal good | demand increases when income increases |
| inferior good | demand decreases when income increases |
| Giffen Good | price increases, demand increases |
| Barriers to information | ability to acquire & understand, and biased information |
