Market Economy
The prices of goods and services are determined by supply and demand.
Supply
The amount of a good or service. How much of that good or service is available.
EX: Not everyone was able to get an iPhone 6 when they wanted.
Demand
The amount that the good or service is wanted or needed. How much the good or service is wanted/needed.
EX: Everyone wants an iPhone 6.
Scarcity
The amount of goods/resources/services does not meet demand. Limited, rare.
Production of Goods and Services
The making of goods or services.
Management of Resources
Efficient, effective, and responsible distribution of resources.
Natural Resources
Gifts of nature, such as forests, fertile soil, and water.
Human Resources
Skills people have to produce goods and services.
Capital Resources
Things people make such as machines and equipment to produce goods and services.
Chapter 1 - The Principles of Economic Expansion
Kid receives a lawn mower for a birthday present from his grandmother. The lawn mower had been his grandfathers.
Chapter 2 - The Growth of Capitalism
Kid asked by the neighbor to mow his lawn. At the end of the day he had mowed three lawns with 6 more in line.
Chapter 3 - The Law of Increasing Product Demand vs.
Flat Production Capacity
Kid met Arnold, the stockbroker.
Kid mows Arnold's lawn in exchange for Arnold investing $35 in the stock market for him.
Chapter 4 - Capital Growth Coupled with the Principles of Production Expansion
Arnold explains how he is investing the $40.
Kid is so busy he is turning down jobs.
Arnold offers to help him out by introducing him to Pasquel. Pasquel could help him with the work.
Chapter 5 - Labor Acquisition and its Effect on Capital Growth
Pasquel and Louis begin working for kid.
Chapter 6 - Economic Expansion Combined with Portfolio Diversification
Kid has too much work and needs help. Pasquel finds more workers for him.
Chapter 7 - Over Utilization of Labor Compounded by Unpredicted Capital Growth
Arnold and the Kid discuss his income from mowing lawns.
Chapter 8 - Dramatic Economic Expansion - Its Causes and Effects
Arnold explains the Kid's investments to him and how much he has made.
Chapter 9 - Conflict Resolution and its Effects on Economic Policy
Arnold and the Kid meet the boxer, Joey Powdermilk.
Pasquel says there is trouble and Joey offers his assistance.
Chapter 10 - Force of Arms and its Application to Business
Joey takes care of Rock and his crew.
Chapter 11 - Business and the Art of Creative Misrepresentation
The Kid tries to tell his parents.
Joey Pow protects the Kid.
Chapter 12 - Team Management in Times of Uncertainty
Rock and his crew pay a visit to Arnold.
Chapter 13 - Expertise, its Utilization and Effects on Economy
Kid tells his parents about the money and situation with Arnold.
Joey Pow comes to the rescue.
Chapter 14 - Resource Utilization: It's Causes and Effects
Arnold is saved.
Chapter 15 - Serendipitous Activity and its Effects on Capital Quantity
The Kid is rich.
