1. GLOSSARY MICROECONOMY
1. Microeconomy: Microeconomy is the economics part that studies the
economic behavior of individual economic agents, such as consumers,
firms, workers and investors, as well as markets. Consider the choices you
make each to fulfill certain aims. The basic element that focuses on
Microeconomy analysis are the goods, prices, markets and economic
agents.
2. Depression: a depression is a severe form of economic crisis is a sustained
decrease in production and consumption, accompanied by high rates of
unemployment and business failures.
3. Economy: Economy is the study of how people in each country or group of
countries use or manage their limited resources in order to produce goods
and services and distribute them for consumption among members of
society so as to satisfy their economic needs.
4. Macroeconomy: Macroeconomy is the part of economic theory that deals
with the study of the economy, by analyzing aggregate economic variables
such as the total amount of goods and services produced, total income,
employment, resource production, the balance of payments, the exchange
rate and general behavior of prices.
5. Balance point: It is the point where total revenue received is equal to the
costs associated with the sale of a product (TR = TC). An equilibrium point
is commonly used in businesses or organizations to determine the potential
profitability of selling a product
6. Efficiency:Ability to have someone or something to achieve a particular
goal with the least possible resources feasible. Not to be confused with
efficiency which is defined as the ability to achieve the effect you want or
expected.
7. Effectiveness: The effectiveness is the ability to achieve the effect you
expect or want after performing an action

2. 8. Effectiveness:The effectiveness is the ability to achieve a desired,
expected or desired. By contrast, efficiency is the ability to achieve the effect
in question with the minimum possible resources feasible.
9. Market: Consumers demanding set of goods and services to all the
producers that offer them.
10. Market failure: In economy, market failure is the term used to describe the
situation that occurs when doing a market supply of a good or service is not
efficient, because the market provide more of what would be efficient or also
can cause failure because the market balances provide less of a particular
good than would be efficient.
11. Income: Any form of income that generates profit.
12. Golondrina capital:Capital flows are coming to a country for a short time to
take advantage of attractive interest rates circumstantial coin and then go
"flying " like swallows.
13. Fixed costs: Fixed costs are those costs that the company must pay
regardless of their level of operation, produce or produce must pay .
14. Variable costs: As its name implies, the variable cost refers to the costs of
production that vary depending on the level of production.
15. Price: Price is called the payment or reward assigned to obtain a good or
service or, more generally, any commodity.
16. Representative market rate:The amount of Colombian pesos per U.S.
dollar.
17. Offer: Is amount of goods or services that producers are willing to sell at
different prices in the market. Term supply quantity supplied, which refers to
the amount that producers are willing to sell at a certain price must be
differentiated.
18. Request: Is defined as the quantity and quality of goods and services that
may be acquired at different prices in the market for consumer (individual

3. application) or the set of consumers (total or market demand), at a given
time.
19. Economic models: One can understand an economic model as a
representation or proposal or, more broadly, as a concept either
propositional or methodological about some process or economic
phenomenon. As in other disciplines , models are , in general, ideal or
simplified representations that help the understanding of more complex real
systems
20. Invisible hand: A metaphor that expresses the self-regulatory capacity in
economics of the free market. It was coined by the philosopher Adam Smith
in his Theory of Moral Sentiments
21. Recession: is the general decline in economic activity in a country or
region, measured by the decrease in annual rate of Gross Domestic Product
(GDP) , over a sufficiently long period.
22. Expansion: Growth occurred in a fiscal year, in relation to the above, the
actual levels of production of goods and services in an economy. Equivalent
economic accretion.
23. Growth or boom: The increase in income or value of final goods and
services produced by an economy (usually from one country or region) in a
given period (usually one year).
24. Competition:a situation in which the operators are free to offer goods and
services in the market and choose who buy or acquire these goods and
services. This generally results in a situation in which, for a given well, there
are a plurality of vendors and a plurality of applicants.
25. Ceteris Paribus: Expression used to facilitate the application of abstract
models, having become a tool for economic analysis.