American Free Market Economy Flashcards
1
Q
What is the study of economics?
A
Marketplace, choices, and limited resources
2
Q
What does it mean to make a choice?
A
Selecting an item or action from a set of alternatives
3
Q
What is opportunity cost?
A
What is given up when a choice is made
4
Q
What are resources?
A
Resources are the factors of production, like labor, land, or money
5
Q
What are the 4 types of resources?
A
- Natural resources
- Human resources
- Capital resources
- Entrepreneurship resources
6
Q
What is production?
A
The items produced determined by supply and demand
7
Q
What is consumtion?
A
When consumers purchase and use the good or service
8
Q
What are 3 questions all countries must answer?
A
- What will be produced?
- How will it be produced?
- For whom will it be produced?
9
Q
What are the 4 types of economic systems?
A
- Traditional economy
- Free market economy
- Mixed economy
- Command economy
10
Q
What are the 3 types of business structures?
A
- Proprietorships
- Partnerships
- Coorporations
