Economics

Economics - "The science which studies human behaviour as the relationship between ends (wants) and scare means(resources)"

Positive statement - can be verified by the facts...
Negative statement - a statemnent of opinion...

Factors of Production

1. Land: Any natural resources
2. Labour: People who are available to work
3. Capital: Something made in order to make something else
4. Enterprise: The skills of combing, the factors of prodaction

Division of Labour[Specialisation]

Output is increased when production is divided into a series of tasks each done by a different worker.
Specialisation causes an increase in PRODUCTIVITY.
Productivity: Output per worker per hour
Specialisation leads to exchange
A market is any place where buyers and sellers exchange goods and services at an agreed PRICE.