| Term | Definition |
|---|
| economics | The study of goods, services, and money and the way the government distributes money |
| want | what people desire |
| need | necessities in life |
| good | objects that are sold and used |
| service | helpful things people do (ex. labor) or market (bought, sold, traded) |
| resource | an available supply that can be drawn on when needed |
| demand | the amount and time of what people want |
| supply | what is available |
| culture | a shared way of doing things |
| society | a group of people with a shared culture |
| scarce | there is not as much of something as one wants or needs |
| cost | whatever you need to give up to get something else |
| labor | includes time and energy, knowledge and skills |
| land | made up of many natural resources that are needed to help produce goods and services |
| capital | anything produced in an economy that is used to produce other good and services |
| capitalism | system in which people make their own decisions about how to save resources as capital and use it to produce goods and services |
| quantity | how much |
| free enterprise | system in which individuals in a market economy are free to undertake economic activities with little or no government control |
| command economy | the government or central authority makes basic economic decisions |
| mixed economy | an economy that is a combination of three basic systems |
| consumption | the buying or using of goods and services |
| market economy | an economy in which private individuals make their own decisions about production, distribution, and consuptionsystem in which people make their own decisions about how to save resources as capital and use it to produce goods and services |
| invest | use your money to help a business get started |
| technology | the practical application of science to commerce or industry |
| profit | difference between what it costs to produce something and the price a buyer pays |
| traditional economy | an economy in which basic decisions are made according to custom |
| distribution | process by which goods and services are made available to the people who want them |
| opportunity cost | benefit given up when scarce resources are used for one purpose instead of another |
| factors of production | resources for producing goods and services to satisfy people's wants |
Combine with other sets
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