1.1 Flashcards
define needs
goods or services that are necessary for survival
define basic needs
what is needed for survival, such as food, water, shelter clothing
define wants
goods or services that are not necessary for survival
define the term, renewable resources
resources that can be replaced as they are used to produce goods and services
give some examples of finite resources
oil, coal, aluminium
give some examples of renewable resources
timber, fish, grain, meat
define the term, finite resources
non renewable resources that will eventually run out
what is the economic problem
the economic problem is that there are limited amount of resources and that there are unlimited wants. This can later lead to scarcity
define scarcity
when there are a lack of resources to satisfy people’s unlimited wants
define unlimited wants
there is always something else that people would like and so people are never satisfied
what is a consumer
a person who buys goods and services to satisfy their wants
what is a worker
a person who works for a producer
what is a producer
someone who creates and supplies goods and services
what is a government
the group of people who officially control a country
define economic goods
goods which are scarce relative to the demand for them
define free goods
resources that are supplied at zero cost because there are more than enough to satisfy the demand for them
