| Term | Definition |
|---|
| need | something essential for survival |
| want | something that people desire but that is not necessary for survival |
| goods | the physical objects that someone produces |
| services | the actions or activities that one person performs for another |
| scarcity | the principle that limited amounts of goods and services are available to meet unlimited wants |
| economics | the study of how people seek to satisfy their needs and wants by making choices |
| shortage | a situation in which consumers want more of a good or service than producers are willing to make available at a particular price |
| entrepreneur | a person who decides how to combine resources to create goods and services |
| factors of production | the resources that are used to make goods and services |
| land | all natural resources used to produce goods and services |
| labor | the effort people devote to tasks for which they are paid |
| capital | any human-made resource that is used to produce other goods and services |
| physical capital | the human-made objects used to create other goods and services |
| human capital | the knowledge and skills a worker gains through education and experience |
Combine with other sets
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