▶ Economies ▶
Economies combine competition and trade of goods.
🥑 People desire more than they can produce.
🗾 Some goods are finite and cannot be created.
🔁 People trade to acquire goods they can't produce.
⚔️ People compete over scarce resources.
Value of Goods
📈 Determined by supply.
📉 Determined by demand.
Currencies are goods used to facilitate trade.
💹 The uses of currencies are:
🔁 Medium of exchange.
📝 Unit of account.
👛 Store of value.
People participate in economies:
😀 Willingly — to gain access to desirable goods.
🙁 Unwillingly — to survive when no alternatives exist.
People desire to exit the economy through:
🏚 Owning rent-generating assets.
🌾 Becoming self-sufficient.
💰 Accumulating wealth.
🚪 Self-sufficiency is the only path that does not require the unwilling labor of others