13 terms

Economics, 5

5th grade vocabulary, List 11
opportunity cost
what a person loses by choosing one opportunity over another
supply and demand
driving force of economic markets; there must be both a source of a product and a need for it.
amount of money needed to purchase something
price incentive
anything that reduces the cost of an item in order to make it more attractive for consumers
focus on one particular product, activity, or job
standard of living
amount of goods and services people can buy with the money they have
voluntary exchange
buyer and seller exercise their economic freedom by working out their own terms of trade
give something in exchange
assembly line
production method that breaks down a complex job into a series of smaller tasks
interchangeable parts
uniform pieces that can be made in large quantities to replace other identical pieces
mass production
production of large quantities of goods using machinery and often an assembly line
products that we use to satisfy our wants and needs
use resources or materials