Chapter 2: Economics Flashcards
Things that workers make or grow
Goods
Work that people do
Services
User of goods and services
Consumer
Things made near where they are sold
Local
Maker of goods
Producer
To bring in goods from another country
Import
To send out goods to another country
Export
A person’s talents and skills
Human resource
Human made item used to make other goods
Capital resource
Giving up one thing for another
Trade off
The price needed to get something
Cost
What you have to give up to get something
Opportunity cost
Useful result
Benefit
Something you must have to live
Need
Something you would like to have, but do not need to live
Want
To spend now in the hope of future reward
Invest
A person’s skill, knowledge, and experience
Human capital
A job
Occupation
Items found in nature that people use. Examples: forest, water, minerals, soil, gasoline, and oil.
Natural resources
Talents and skills that people have and use. Examples: skills to do a job such as repairing a car or treating an illness.
Human resources
Human made items used to make goods or provide services. Examples: computers, buildings, tools, and machines
Capital resources
People and communities have to make economic choices because…
There are not enough resources to do everything
Three reasons to buy local products are…
- to lower shipping costs
- to support local businesses
- fresher products
