Economic Institutions

• Economics


  The study of how people choose to use resources
• Institution


  • An established organization
  • A place where an organization takes care of people for a usually long period of time
  • A custom, practice, or law that is accepted and used by many people
• Economic institutions


  • Bureau of Internal Revenue (BIR)
• Well-established arrangements and structures that are part of the culture or society


  Competitive markets, the banking system, kids' allowances
• Kinds of reciprocity


  • Generalized
  • Balanced
  • Negative
• Generalized reciprocity


  Giving without expectation of return/no concern how gift is affecting the giver
• Generalized reciprocity


  • Parents giving to their children
• Balanced reciprocity


  Giving with the expectation of return/time varies
• Balanced reciprocity


  • Birthday gift
• Negative reciprocity


  Getting something for nothing
• Negative reciprocity

  • Theft, gambling
• Economic institutions


  Specific agencies or foundations, both government and private, devoted to collecting or studying economic data, or commissioned with the job of supplying a good or service that is important to the economy of a country