economics, key points



1. The economic value created is the amount of work that is done.


2. Prices are the amount of currency that must be handed over to purchase an item (coins, notes etc.)


3. Most economic problems are due to the lack of an effective banking system (somewhere to safely store cash),

	and incorrect prices (prices that are drastically too high or low).


4. Also necessary is a legal system, transport services, etc.








Examples

Cost of production of hamburger, softdrink	$ 0.01

	(per item, in quantities of 1M)


	sale price				$ 3.00

	% increase				30,000 %




work

physical activity that produces a useful result, e.g. picking fruit (boxes of fruit), writing a legal contract 

	(contract document), also planning, organising, etc.
