Economics

Question 0

Want

Answer 0

Something that we desire

Question 1

Need

Answer 1

Something essential for survival

Question 2

Goods

Answer 2

Phisical objects that someone produces

Question 3

Services

Answer 3

Actions or activities that one person performs for another

Question 4

Entrepreneur: First they recognize a need or want. Then they must assemble the factors of production to meet that need or want.

Answer 4

People who decide how to combine resources to create new goods and services

Question 5

Scarcity

Answer 5

Limited amounts of goods and services are available to meet unlimited wants.

Question 6

Economics

Answer 6

The study of how people seek to satisfy there needs and wants by making choices

Question 7

Shortage

Answer 7

Consumers want more of a good or service then producers are willing to make available at a particular price

Question 8

Factors of production

Answer 8

The resources used to make all goods and services

Question 9

The 3 main factors of production are:

Answer 9

land, labor, and capital

Question 10

Land

Answer 10

All natural resources used to produce goods and services

Question 11

Labor

Answer 11

Effort people devote to tasks for which they are paid

Question 12

Capital

Answer 12

Any human made resource that is used to produce other goods and services

Question 13

Physical capital

Answer 13

Human-made objects used to create other goods and services

Question 14

Human capital

Answer 14

Knowledge and skills a worker gains through education and experience

Question 15

Benefits of capital

Answer 15

A key factor of production because people and companies can use it to save a great deal of time and money

Question 16

Examples of benefits of using capital

Answer 16

Extra time
More knowledge
More productivity

Question 17

Trade off

Answer 17

Giving up one benefit to gain another

Question 18

Guns or butter

Answer 18

Spending money on military or domestic needs

Question 19

Opportunity cost

Answer 19

Gives up as the result of a decision

Question 20

Thinking at the margin

Answer 20

Deciding how much more or less to do

Question 21

Cost and benefit analysis

Answer 21

Will sacrifice and will gain

Question 22

Marginal cost

Answer 22

Extra cost of adding one unit

Question 23

Marginal benefit

Answer 23

Extra benefit if adding the same unit

Question 24

Production possibilities curve

Answer 24

Graph that shows ways to use economys resources

Question 25

Production possibilities frontier

Answer 25

Combinations of production of both shoes and watermelons

Question 26

Efficiency

Answer 26

Use resources to maximize the goods and services

Question 27

Underutilization

Answer 27

Any point inside the production possibilities

Question 28

Law of increasing costs

Answer 28

Production shifts from making one item to another more resources are needed