Terms in this set (34)
Satisfies a need by buying a good or service
Tools used in production of a good or service
How people manage material resources in a community (how people make a living, make $$)
Amount left after costs are subtracted from the price
Comes from the Earth or nature - useful to humans
Amount of good or service for sale
Tangible item - can touch - ex: food, clothes, car
When people and society try to satisfy unlimited wants with limited resources
Things we desire to make up more comfortable, unlimited
Dependent on agriculture, tend to barter, economic decisions based on traditions
Government directs economic decisions - gov't makes rules on what is produced and how much and where it is produced
Work or activities people perform for a fee (ex: Mechanic)
The person who produces goods or services
Person or group who uses resources to make goods or provide a service
Amount of good or service consumers are willing to buy
Things needed to survive (food, shelter, water)
Value of 1st Choice
Value of 2nd choice
Economic decisions are made by individuals not the gov't - supply and demand influence what and how much is produced
If Supply is down - how does that impact price?
Price will rise
If supply is up - how does that impact price?
Price goes down
If John studies all night for his exam tomorrow, what is the opportunity cost?
A good night's sleep
If John studies all night for his exam tomorrow, what is the opportunity benefit?
A good grade on his test
IF the demand of a good or service is high, how does that impact the supply?
the supply will decrease
If the demand for a good or service is low, how does that impact the supply?
the supply will increase
If the demand for a good is high, how does that impact the price?
the price goes up
If the demand for a good or service is low, how does that impact the price?
the price goes down
If the price of a good or service is high, how does that impact the demand?
the demand is low
If the price of a good or service is low, how does that impact the demand?
the demand will go up
What are the 4 factors of production?
Land, Labor, Capital, Entrepreneurship
All of the natural resources used in producing a good or service are known as which factor of production?
All of the work people do in the production of a good or service are known as which factor of production?
All of the tools and machines used in the production of a good or service are known as which factor of production?
The person who puts all of the natural resources, tools, and people together to produce a good or service, and invests resources is known as which factor of production?