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1. Marry Joy E. Nollan
Grade-12 WISDOM
Colegio De Sta.Isabel – Laguna
Ms. Ivy Polidario

3.  Arc Elasticity - the value of
Elasticity is computed by choosing
two (2) points on the demand curve
and comparing the percentage
changes in the quantities and the
prices on those two points.
o Ceteris Parabus Assumption –
means all other related variables,
expect those that are being studied
at the moment are held constant.

4.  Complements – income
refers to money that are
individual or business
receives in exchange for
providing a goods or
services or through
investigal capital.
BUSINESS PROCESSING
OUTSOURCING – IS THE
CONTRACTING OF A SPECIFIC
BUSINESS TASK, TO A THIRD-
PARTY SERVICE PROVIDER.

5. COST OF PRODUCTION –
REFERS TO THE EXPENSES
INCURRED TO PRODUCE
THE GOODS.
Consumer Goods –
are good which
consumers use to
satisfy their wants.

6. DEMAND – IS THE
WILLINGNESS OF A
CONSUMER TO BUY A
COMMODITY AT A GIVEN
PRICE.
Demand Function – show
how the quantity
demand of a good
depends on its
determinants , the
most important of
which is the price of
the good itself.

7. DEMAND SCHEDULE –
SHOWS THE VARIOUS
QUANTITIES THE CONSUMER
IS WILLING TO BUY AT
VARIOUS PRICES.
Economic Rent – refers
to a payment made to or
for a factor of production
over and above the
amount expected by its
owner.

8. ECONOMIES SCALE –
SAVING THE RESULT FROM
PRODUCTION OVER A WIDE
RANGE OF OUTPUT.
Elastic
Demand/Supply – is
when a change in a
determinant will lead to
a proportionately
greater change in
demand or supply.

9. ELASTICITY – THE DEGREE
OF THE RESPONSE OF
DEMAND AND SUPPLY A
CHANGE IN PRICE OR A NON
PRICE DETERMINANT.
Equilibrium – means a
state of balance in the
market there is
equilibrium when
demand is equal to
supply.

10. EQUILIBRIUM PRICE – IS
THE PRICE AT WHICH
QUANTITY DEMANDED FOR
A GOOD IS EQUAL TO THE
QUANTITY SUPPLIED OF
THAT GOOD.
Equilibrium Quantity –
is where the quantity
demanded for a good is
equal to the quantity
supplied of that good.

11. EXPECTATION – IS A STRONG
BELIEF THAT SOMETHING WILL
HAPPEN OR WILL BE THE
CASE IN THE FUTURE.
Gross Domestic
Production – all
product produced
by the resources in
the economy in a
given period.
Full – time
workers – are
those who work 40
hours or more.
Income – is
consumed to fuel
day – to – day
expenditures

12. FOREIGN EXCHANGE RATE
– IS THE RATE OF
CONVERSATION OF THE
PHILIPPINE-PESO TO A
FOREIGN CURRENCY SUCH
AS THE US DOLLAR.
Gross Domestic Product
– is the monetary value of
all the finished goods and
services produced within a
country’s boarders in a
specific time period, usually
one year.

13. INCOME EFFECT – WHEN THE
PRICE OF A GOODS CHANGES,
THE CHANGES EFFECTS THE
CONSUMER’S REAL INCOME.
Imperfect Competition –
exist when at least one of
the requirements for the
perfect competition is
absent in the market.

14. INFERIOR GOODS – ARE
GOODS THAT ARE BOUGHT
WHEN INCOMES ARE LOW,
BECAUSE LOW INCOME
PREVENT THE CONSUMERS
FROM BUYING HIGHER PRICED
GOODS.
Inelastic Demand
Supply – is when a
change in a
determinant will lead to
a proportionately
lesser change in
demand or supply.

15. INVESTMENT – IS BUILDING
UP THE CAPITAL STOCK FOR
MORE FUTURE PRODUCTION
AT THE COST OF SAVINGS
WHICH POSTPONES PRESENT
CONSUMPTION.
Labor Market – is
where the workers
offer their services and
look for jobs, and
where employers look
for workers to hire.
Labor Migration – is
the movement of
workers from their
country for purposes
of employment in a
foreign country.
Market – is a means of
interaction between
buyers and sellers for
trading or exchange.

16. MARKET STRUCTURE –
REFERS TO THE
COMPETITIVE
ENVIRONMENT IN WHICH
BUYERS AND SELLERS
OPERATE.
Market Equilibrium
– exist when quantity
demanded is equal
to quantity supplied.

17. MONOPOLISTIC COMPETITION –
IS A TYPE OF IMPERFECT
COMPETITION WHERE FIRMS SELL
DIFFERENTIATED PRODUCTS
WHICH ARE HIGHLY
SUBSTITUTABLE BUT ARE NOT
PERFECT SUBSTITUTES.
Minimum Wage –
refers to the lowest
wage permitted by law
below which if paid by
employer will subject
him to penalty from
the government.

18. MOVEMENT ALONG THE
CURVE – IS A CHANGE
FROM ONE POINT TO
ANOTHER POINT ON THE
SAME CURVE.
Monopoly – is a
market where there
is a sole producer of
a product, for which
there are no close
substitutes.

19. NON PRICE VARIABLES –
ARE FACTORS OTHER THAN
PRICE THAT ALSO CAN
INFLUENCE THE DEMAND
FOR OR SUPPLY OF A
GOOD.
Non price competition –
refers to any action a firm
takes to shift the demand
curve for its output to the right
without having a sacrifice its
price included better service,
product guarantees, free
home delivery, more
attractive packaging
locations, and advertising.

20. NORMAL GOOD – IS A
GOOD WHICH CONSUMER
TENDS TO BUY MORE OF
WHEN INCOME INCREASE.
Oligopoly – is a
market where a few
sellers accounts for
most of or total
production.

21. OFW – IS A FILIPINO
WHO WORKS IN A
FOREIGN COUNTRY.
Population –
includes the
inhabitants of a
particular town,
area, or country.
Part time Workers
– work for less than
40 hours
Rent – payment for
the use of land
belonging to a land
owner

22. PRICE CEILING – THE
HIGHEST PRICE THAT THE
SELLER CAN CHANGE FOR
THE GOOD BEING SOLD
NORMAL SET BY THE
GOVERNMENT.
Perfect Competition –
exists when there are
many buyers and sellers
who are too small to
affect price and who
offer a homogenous or
highly similar good in
market.

23. PRODUCTIVE CAPACITY –
THE MAXIMUM OUTPUT
THAT CAN BE PRODUCED
BY A GIVEN SET OF
RESOURCES.
Price Elasticity of
Demand – this
measures the
responsiveness of
demand to a
change the price of
the good.

24. REAL ESTATE BOOM –
REFERS TO THE SURGE
IN THE DEMAND FOR
HOUSING AND
RESIDENTIAL PROPERTY.
Public Goods –
government provided
facilities for public use
that society and the
economy cannot do
without.
Real Income – this is
the amount of goods
and services one can by
with the income.
Saving – is the
portion of income
earned that is not
spent on
consumption or
taxes.

25. SHIFT OF THE CURVE – IS A CHARGE IN THE
ENTIRE DEMAND OR SUPPLY CURVE, DUE TO A
CHARGE IN A NON PRICE DETERMINANT OF
DEMAND OR SUPPLY.
Resources – basic
factors of production
enabling to processing
of products towards
higher stages.
Taxes – payment
for public goods
and services by
citizens

26. TECHNOLOGY – IS THE
APPLICATION OF SCIENTIFIC
KNOWLEDGE FOR PRACTICAL
PURPOSES, ESPECIALLY IN
INDUSTRY. IT INCLUDES
MACHINERY AND EQUIPMENT
DEVELOPED FROM THE
APPLICATION OF SCIENTIFIC
KNOWLEDGE.
Substitution effect – when the price
of a good changes and the price of
the substitute good remains constant
the consumer would substitute the
lower-priced commodity for the
highest priced one, resulting in
decrease in the demand for the
expensive good.

27. End
Thank you!