1.2 The basic economic problem Flashcards
Define social sustainability
The impact of growth or development that promotes an improvement in quality of life for all, now and into the future
Define unlimited wants
The infinite desire for something
What are the questions of how resources should be allocated?
- What goods and services
should be produced? - How should goods and services be produced?
- For whom should these goods and services be produced for?
Define economic sustainability
The best use of resources in order to create responsible development or growth, now and into the future
Define opportunity cost
The next best alternative given up when making a choice
Define economic problem
How to best use limited resources to satisfy the unlimited wants of people
Define environmental sustainability
The impact of growth or development where the effect on the environment is small and possible to manage, now and into the future
Define scarce resources
When there is an insufficient amount of something to satisfy all wants
Define economic choice
An option for the use of selected scarce resources
