Notes, abstracts, papers, exams and problems of Economy

Types of Bank Deposits

Checking Account: A deposit account that allows for frequent transactions, typically used by individuals and businesses.

Savings Account: A deposit account designed for saving money, offering immediate availability of funds.

Term Deposits: Deposits held for a fixed term with a predetermined interest rate. The interest rate is typically higher than that of checking or savings accounts. Early withdrawal may be possible, but often without interest.

Functions of Money

Medium of Exchange: Used to buy goods and services.

Unit of Account: Provides a standard measure of value for all goods and services.

Store of Value: A way to store wealth, although its value can be eroded by inflation.

Demand for Money

People demand money for transactions... Continue reading "Banking and Finance: Deposits, Money, and the Spanish Financial System" »

Monopoly, Oligopoly, Cartels, Trusts, and Holdings

• Monopoly: A single company has complete control of a sector.
• Oligopoly: Stocks in each sector are controlled by a few large companies.
• Cartel: An agreement between companies to divide the market and artificially raise or maintain prices.
• Trust: A permanent merger of companies.
• Vertical Integration: A firm controls the entire production process.
• Dumping: Selling at a price below production costs temporarily to eliminate competition.
• Holding: Companies are controlled by the same bank.

New Production Systems

Taylorism: Scientific management of work based on the ideas of Frederick Taylor.

• Division of Labor: Each worker is assigned specific tasks in the production process.
• Tasks are timed to establish sanctions

Eight Principles of Security Policy Management

A) Security Policy and Leadership

Senior management establishes unity of purpose and direction through policies across various disciplines. Security policy must be led and upheld by top management to create an internal environment where everyone can contribute to achieving goals and objectives.

B) Customer Focus

Organizations depend on their customers and should understand their current and future needs, meet their requirements, and strive to exceed expectations. Customers include external clients, internal stakeholders, shareholders, and society in general.

C) Staff Participation

Staff at all levels are essential, and their full involvement enables their abilities to benefit the organization.

D) Process

Consumer Behavior: An Economic Perspective

The Roots of Consumer Behavior in Economic Thought

The study of consumer behavior emerged from the exploration of economic principles, particularly the concept of utility, or satisfaction derived from consumption. Early economists like Adam Smith and Jeremy Bentham were among the first to formally examine consumer behavior. They posited that consumers, acting as "economic men," make rational choices based on cost and value to maximize their satisfaction given limited time, energy, and money.

The Concept of Economic Man and Utility

Economic theory traditionally portrays humans as rational buyers, possessing complete market information and striving for the best possible outcomes in their purchasing decisions.... Continue reading "Consumer Behavior: Understanding the Economics of Choice" »

The structure organizing the work within a company directly impacts the perception that a worker can have of their working conditions and professional achievements. A highly vertical organizational structure with a long chain of command and control sections does not work well in the short term for teams. In contrast, horizontal structures best facilitate teamwork. The organizational structure influences the number of rules, procedures, paperwork, and other limitations that are encountered by workers in developing their work. There are six key elements considered in the organizational structure of an enterprise:

• Work specialization
• Bureaucracy
• Departmentalization
• Chain of command
• Centralization and decentralization
• Formalization

Entrepreneur Motivation

It... Continue reading "Key Elements of Organizational Structure & Employee Motivation" »

Production: A Three-Point View

Production can be defined in several ways:

• Economic: The development of products from basic productive resources by companies, to be purchased or consumed by households.
• Technical perspective: A combination of elements, such as labor, raw materials, machinery, energy, and direction, based on monitoring and observation of procedures (technology) to obtain goods or services.
• Utility-function perspective: A process that adds value to things, creating useful goods; in other words, it adds value.

Productive Factors

To produce, a series of elements need to be combined:

• Natural Resources: Raw materials, supplies, and energy.
• Labor: The workforce or the time that workers dedicate to production/service.
• Capital: The set of necessary

Key System: Mixed Economy

• Inequality in the initial allocation of property
• Collective basic needs
• Natural monopolies

MARKET FAILURES:

• Cycle (the market cycle is critical, not growing)
• Externalities (effects outside a company)
• Public goods (the market has great agility to respond to the demand for private goods, but cannot provide the amount of public goods needed)
• Lack of competition (monopoly)
• Equity (the market generates a very uneven income distribution)

Cycle:

Boom, Recession, Depression, Recovery

Or Neo-Monetarists	Neo-Keynesians
Heirs to the tradition of liberalism They claim the full autonomy of the market The state should limit itself to ensuring a free market and controlling the amount of money and inflation. They criticize the weight of the state

... Continue reading "Understanding Mixed Economy and Market Failures" »

Organizational Structure

1. Senior Management: People who make strategic decisions and set the overall objectives of the company.

2. Middle Management: Middle management or executive staff. Example: heads of department. Labor: relate the general objectives of the company with specific departments.

3. Operating Base: Technicians and workers.

4. Technostructure: Analysts and experts in management and operation functions, who do not participate in productive work but also design, plan, and prepare the people doing productive work.

5. Support Structure: Staff: personal advice to managers.

Relations in the Formal Organizational Structure

1. Formal: These relationships are defined in advance by management and communicated to other members of the organization.... Continue reading "Understanding Company Structure, Departments, and Roles" »

Quality Concept

• Quality Product
• Quality of Service
• Quality of Care

Defining Quality

There may be different definitions:

• According to the dictionary
• According to UNE-EN-ISO 9000:2000
• Specialty-based: focus on technical, financial, or customer aspects
• The Organization for European-based Quality Control (EOQC)

A quality product or service represents the degree that covers the client's requirements which were used, and the result of quality design and quality of manufacture.

Top Quality

• Satisfaction of needs and customer expectations (consumers, users, members of the organization, shareholders, society, etc.)
• The least-cost associated, linked to an efficient use of resources
• The use of continuous improvement as a method
• The applicability to all processes and

Indifference Curves

Indifference curves are lines on a plane representing combinations of goods that produce the same satisfaction. As we move away from the axes, satisfaction increases. However, satisfaction remains the same along any single indifference curve. Consumers always aim to be on the highest possible indifference curve their income allows.

Automatic Stabilizers

Automatic stabilizers in fiscal policy are instruments that activate automatically without government intervention. They respond to changes in income, employment, or prices, stabilizing the economy.

Existing Tax Deductions

1. If income increases and demand holds or increases, existing deductions remain unchanged, potentially hindering growth.
2. If income falls and demand decreases,