defintions Flashcards
scarcity def
the fact there is a limited amount of resources to satisfy unlimited wants.
economic resources def
things that are input to production of goods and services.
what are the 4 types of economic resources?
land, labour, capital, and technology.
land def
natural resources that are used in the production of goods and services.
examples of land?
lumber, raw materials, fish, soil, minerals, and energy resources.
capital def
physical goods that are produced and used to produce other goods.
examples of capital?
machinery, technology, and tools such as computers, hammers, and factories.
technology def
the ability to combine the other productive resources into goods and services.
occam’s razor def
the logical principle that states that you should not make any assumptions than the minimum amount needed to perform analysis.
ceteris paribus def
a latin phrase meaning that the only changes you should be thinking about are the ones explicitly described.
normative statement def
statements that describe opinions or how things are supposed to be.
positive statement def
statements or fact or description of how something actually is. (facts)
planned obsolescence def
the act of making things purposely useless within a given time period.
example of planned obsolescence
apple batteries
perceived obsolescence def
when manufacturers make frequent stylistic changes, leading to the decrease in the perceived desirability of now ‘unfashionable’ items.
