3.

- For example: when you come to Nha Trang and you get to see your friend -> cost at the
margin is low
4.
For example: comparing the quality and the price is very equal-> consider to buy or not -> but
have the sale ->
- Prevent pp from private car, owner car -> tax to pay for an owner car -> the cost is so
high can't not buy-> choose to rent a car -> good way
- Higher cigarette taxes, teen smoking falls.
Incentives can change the cost and the benefit that we can get.
For example:A. we can get 200$ if we have transmission
B. If we do that, we will lose 100$.
Sunk cost : the cost has already been committed and dont have the chance to take back.
-> Everytime you make a decision, you don't consider this because you already pay and can not
take it back.
HOW PEOPLE INTERACT IN THE MARKET SOCIETY.
5.
Everyone chooses trade -> you need a lot of things but you can't make them all . For example: a
teacher can produce computers -> If we choose to be self-sufficient -> we can't meet the
demand -> when we trade , we can get all the things we want and we can do the things that are
the best. One can do everything I want -> I do the things I do best and pay for everything I want.
For example: VIetnam cant produce computers, laptops -> we trade coffee, …-> with trade we
can do everything we want -> can make everyone better off .
For example;: Farmers can make more profit when they trade off with foreigners. And other
countries will have a decrease in price
For example: Before 1986, VietNam is poor because we want to build everything we want ->
After 1986, become better -> we depend on other people and people depend on you.-> THe
difference between trade off and non trade off.
6.
Take note : Usually not always
What, How, for whom to produce -> three basic issues in economic
First: follow ancestors -> traditional economy. Like VietNam has nong nghiep like : gao, lua but
other countries are: lua mi….
Second: the tradition economy is not suitable for the nowadays -> we have to look around ->
you follow the market- economy -> everyone do the things just themself -> don't consider about
ancestor but only maximum profit -> when we choose a good to produce , we choose st can
make money -> pp for themself they just want to utility: muc do thoa man the most, and they
dont consider even make feature to kill pp, medicine to kill pp -> good is min to satisfy your
utility maximize
-> how to produce: way to produce goods the cheapest ways to make goods.
-> for who: pp have the demand to pay it for the best price
—-------> The weak: pp tend to be greed and selfishness
Third: Command Economy ( The economy is based on pp’s intelligence)( Cơ chế quốc doanh):
Building the society based on human’s intelligence. For example: Viet Nam
-What:rice
- rice is distributed around Vietnam -> no one has the motive to do better than other pp because
we don't do anything for ourselves and cant have any profit because it belongs to the factory,
government. -> fail to become efficient.
Fourth: Mixed Economy . For example: we produce Vietnam ao dai, ..apply many modern
technology to export to other countries,.... And we make duong day dien the for everyone’s use.

*VietNam, russia.. Are not considered as market economy. We tranmiss from command
economy to market- economy .
Chi khi nao nguon luc nam trong tay tu nhan thi moi phan anh dung gia ca cua nguon luc. Vi
neu nam trong tay nha nuoc thi nguon luc khong duoc dinh gia dung: dat dai, nha may ->
VietNam chi la nen kinh te dang chuyen doi -> Khong phu hop voi nen kt thi truong -> vi nen kt
thi truong thi thi truong se quyet dinh gia ca -> vì nếu khi mình bán được nhiều, dắt thì sẽ bị
kiện bởi các thương nội địa bởi vì cho rằng bán phá giá -> phải chứng minh rằng toàn bộ chi
phí bán ra đã tính toàn bộ chi phí sản xuất -> phải có hệ thống kế toán : Việt Nam và Mỹ -> nếu
là nền kt thị trường sẽ dễ dàng tính hơn do toàn bộ sổ sách chi phí đều ghi rõ -> phải giảm
thiểu số lượng các công ty quốc gia, cổ phần hóa ,tư nhân hóa cty quốc gia, chuyển nhượng
đất, kinh doanh đất.-> Cứ mỗi lần chuyển đổi thì sẽ thất thoát tài sản công.
Everyone does things for themselves, but they don't know why this become be done for
everyone -> called ‘Invisible hand.”
The ; invisible hand’ works through the price system: when we work more money -> we make
better and more -> serve more for society
7.
The government becomes the ‘Invisible hand' because when an invisible hand loses its
function , the government will do that.
Important role: when the government protects the property rights well -> increase motive to
people . In contrast, people don't want to try hard to complete their jobs.
a. For the poor country: equity considered as income
…………rich country: equity considered as opportunity. Everyone has the same
opportunity: go to school, subside form government, hospital…. When we want more, we
have to work hard.
-> Solve both efficiency and equity.
b. Both
c. Efficiency
d. Luật về giấy phép, bằng sáng chế: Protecting property rights includes:;quyền sở hữu trí
tuệ, Efficiency and equal
8.
GDP depend on 2 things (Income /worker ):
+ Productivity: the amount of product……
+ Labor force: the worker needs that productivity…
Productivity * labor force = GDP
● The low improvement of VietNam because : 80% of labor force have no skills, no
training, no experience -> low income -> low productivity -> low standard of living
 In the economy, we don't consider natural resources as an important factor: Japan,
Israel, Germany….
The main important factors are: Human capital and technological knowledge.
9.
The government collects fees, taxes -> increases the facilities, school… -> when they dont get
enough money they will ban trai phieu, and borrow from the foreign countries. -> when more
money dua vao economy but the amount of products is not change -> the price increase .
10.
When cung > cầu -> không thể sản xuất thêm nữa -> sự tăng của tỉ lệ thất nghiệp.