Define:
(a) Consumption
(b) Production
(c) Government
(a) Consumption
(b) Production
(c) Government
(a) Consumptioncan be defined in different ways, but is best
described as the final purchase of goods and services by individuals. The
purchase of a new pair of shoes, a hamburger at the fast food restaurant or
services like getting your house cleaned are all examples of consumption. It
is also often referred to as consumer spending. Many topics in economics
explore how the income of families and individuals affects consumption and
spending habits.
(b) Productionis a process of workers combining various
material inputs and immaterial inputs (plans, know-how) in order to make
something for consumption (the output). It is the act of creating output, a
good or service which
has value and
contributes to the utility of
individuals.
(c) A government is the system by which a state or community is
controlled. In the case of
this broad associative definition, government normally consists of legislators,
administrators, and arbitrators. Government
is the means by which state policy is enforced, as well as the mechanism for
determining the policy of
the state.
(a) Consumptioncan be defined in different ways, but is best described as the final purchase of goods and services by individuals. The purchase of a new pair of shoes, a hamburger at the fast food restaurant or services like getting your house cleaned are all examples of consumption. It is also often referred to as consumer spending. Many topics in economics explore how the income of families and individuals affects consumption and spending habits.
(b) Productionis a process of workers combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (the output). It is the act of creating output, a good or service which has value and contributes to the utility of individuals.
(c) A government is the system by which a state or community is controlled. In the case of this broad associative definition, government normally consists of legislators, administrators, and arbitrators. Government is the means by which state policy is enforced, as well as the mechanism for determining the policy of the state.
