Si Gadis Chameleon

• Family economy


  A social science sector which focus on human behavior from the aspects of consumption, production and allocation of limited production factor to fulfill unlimited needs/wants
• Microeconomics


  The study of the behavior of individual, firms or few markets
• Macroeconomics


  The study of the behavior of economic aggregate ie GDP, inflation, unemployment
• Family


  A group of two or more persons related by blood, marriage or adoption living in one dwelling unit & dependent on a common or pooled income for major items of expense
• Consumer economy


  Individual (baby- old) or individual group which determine about consumption & resource allocation to achieve well-being maximization (utility)
• Family economics


  A body of laws, principles, and concepts that relate to families use of scarce resources to attain standard of living that desire
• Family economics


  • Concern with determinants of the level of living (of families and individuals) and the possibilities of improving them to better meet personal and societal needs
• Consumer economics


  The study of economic interactions of consumers with their external environmental
• Consumer economics


  • Economic analysis of market and non market consumption activities, incorporating relevant social, psychological, political & ecological
• Economic system


  1. Allocation of resources

  2. Production of wealth (or commodities) & services

  3. Distribution of product among family members

  4. Consumption of the product
• Resources


  • Human resource (energy, interest, creative, etc)
  • Material (income-money, wealth & ownership)
  • Economics resource (money, time, human capital, etc)
  • Non economics (utility, interest, loving etc)
• Production


  • Involve mental & physical process
  • Family involve in production activities at market & household level
  • At market - get income (money), self benefit
  • At household - give real income, unpaid activity, benefit for all & not calculate in GNP
• Distribution


  The assignment of produced goods to their intended use
• Factors influencing consumption


  • Price
  • Income
  • Taste
  • Time
• Consumption


  The utilization of goods directly to satisfy wants
• Phases of consumption


  • Acquisition (pembelian)
  • Use
  • Disposal (pelupusan)
• Economics problem: Unlimited in human need, limited in resources, Things need to process not in a real form
• Importance of family/consumer economics

  • Focus on the family/consumer issues
  • Increase purchasing power
  • Reduce the cheating at market
  • Increase consumer satisfaction
  • To help market system compete
  • Increase in information collection
• Decision making


  Choose the alternative that give maximum utility, well-being maximization & rational, rational in terms of method & outcome, determined by taste
• Gross National Product (GNP) increase every year because of resource, technology and price increase
• Economic well-being


  The ability to command material goods & services, in relation to its need
• Well-being is the result of human activities, which is consumption
• Family/consumer have their own role to increase economics well-being, this well-being help our well-being in future
• When analysing markets, a range of assumptions are made about the rationality of economic agents involved in the transactions
• The Wealth of Nations was written

  1776
• Rational


  (in classical economic theory) economic agents are able to consider the outcome of their choices and recognise the net benefits of each one
• Rational agents will select the choice which presents the highest benefits
• Consumers act rationally by


  Maximising their utility
• Producers act rationally by


  Selling goods/services in a way that maximises their profits
• Workers act rationally by


  Balancing welfare at work with consideration of both pay and benefits
• Governments act rationally by


  Placing the interests of the people they serve first in order to maximise their welfare
• Groups assumed to act rationally


  • Consumers
  • Producers
  • Workers
  • Governments
• Rationality in classical economic theory is a flawed assumption as people usually don't act rationally
• A firm increases advertising

  Demand curve shifts right
• Demand curve shifting right

  Increases the equilibrium price and quantity
• Marginal utility


  The additional utility (satisfaction) gained from the consumption of an additional product
• If you add up marginal utility for each unit you get total utility
• BASIC ECONOMIC CONCEPTS
• DR. ZURONI MD JUSOH
• JPSPP, FACULTY OF HUMAN ECOLOGY