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Econ.

Chapter 1 to 3

Question,Answer
Define MECHANISM. PROCESS or means by which something can be accomplished.
Define ASSUMPTION. Something TAKEN FOR GRANTED; something we think is true.
Define ECONOMIC GROWTH. INCREASE in a nation's total OUTPUT of goods and services OVER TIME.
Define PRODUCTIVITY. Measure of the amount of OUTPUT produced in a specific time period with a given amount of resources; normally refers to labor, but can apply to all factors of production.
Define HUMAN CAPITAL. Sum of PEOPLE'S SKILLS abilities, health, and motivation.
Define DIVISION OF LABOR. Division of WORK INTO a number of SEPARATE TASKS to be preformed by different workers.
Define SPECIALIZATION. Assignment of TASKS to workers, factories, regions, or nations that can preform them most EFFICIENTLY.
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