Class Notes 10/19

1. Do not conflate ethical values with market transactions.

2. What gives us confidence in companies like FedEx? FEEDBACK LOOPS


3. Feedback loops allow for improvement by revealing flaws and allowing for the reward of good behaviors. Most frustrations derive from a lack of feedback.

4. Factors of Production:

• Land
• Labor
• Capital - What is produced to produce more. Physical and Human capital. Human capital is any increase in ability over one's lifetime.

5. Economic Activity - Action undertaken which deals with someone else. More self-sufficiency -> less economic activity