Introduction to chapter 1
In this chapter you get to know the households at Park Road. You will meet the residents of Park Road several times in this lesson. Next we devote attention to the concept of households in an economic sense and look at the ways in which households obtain money. The families are rewarded for the deployment of the factors of production labour, capital, nature and entrepreneurship in the enterprise. The income distribution among the different factors of production is called the income distribution according to certain categories. Apart from study or labour there is leisure time. The importance of leisure time and the satisfaction of pupils with their leisure time will come up next. By means of a budget line we can look further at the conversion of work into leisure time. Working more means less leisure time, but more income.
Using the participation rate or labour participation rate we can see whether the number of people working in relation to the population between 15 and retirement age increases or decreases.
This chapter introduces several skills that you need to master for the subject of economics, such as calculating, making and interpreting graphs, reading tables, processing information and conducting research.