Key Terms

Question 0

Economic problems(3)

Answer 0

Unlimited wants(1) and scarce/limited resources(1) which forces is to make choices(1)

Question 1

Scarcity of resources(2)

Answer 1

Resources are limited(1) because they are non-renewable/limited

Question 2

Value(2)

Answer 2

How much everyone enjoys something(1) shown by how much tye would give up of something else to receive it(1)

Question 3

Means of exchange(2)

Answer 3

The method of showing out valuation of something(1) e.g. Money(1)

Question 4

Opportunity cost(3)

Answer 4

The value(1) of the next best alternative(1) given up when making a choice(1)

Question 5

Trade-off(2)

Answer 5

The item given up(1) when making a choice(1)

Question 6

Revenue(2)

Answer 6

The money earned from sales(1) selling price*quantity sold(1)

Question 7

Price sensitivity(2)

Answer 7

How sensitive demand is(1) to a change in price(1)

Question 8

Substitute(in terms of price sensitivity)(1)

Answer 8

A substitute is a product/service you can easily swap to(1)

Question 9

Stakeholder(2)

Answer 9

An individual or group(1) who has an interest in the actions of a business(1)

Question 10

Stakeholder power(2)

Answer 10

Some stakeholders at more influential(1) in the decision making of a business than others(1)

Question 11

Conflict of interest(2)

Answer 11

Where two or more stakeholders(1) have a different viewpoint on the actions of a business(1)

Question 12

Negative externalities(2)

Answer 12

The cost inflicted on society as a result of an individuals’ actions(1) that the individual doesn’t pay for(1)

Question 13

Positive externalities(2)

Answer 13

The benefit inflicted on society as a result of an individuals’ actions(1) that the individual doesn’t get rewarded for(1)

Question 14

Measuring business success(1)

Answer 14

Quantifying the achievements of a business by survival, revenue, profit, market share or ethics(1)

Question 15

Competitive advantage(1)

Answer 15

Any factor that helps a business succeed against a rival(1)

Question 16

Cash flow(2)

Answer 16

The movement of money(1) In and out of the business(1)

Question 17

Gross domestic product(2)

Answer 17

The value(1) of the spending(1) or output(1) or income(1) in an economy(1)

Question 18

Economic growth(2)

Answer 18

An increase(1) in GDP or aspect of GDP(1)

Question 19

Inflation(2)

Answer 19

An increase(1) in the general level of prices in the economy(1)

Question 20

Unemployment(2)

Answer 20

The number of people out of work(1) who are actively seeking employment(1)

Question 21

Claimant count(2)

Answer 21

A measure of unemployment(1) by counting the number claiming unemployment benefits(1)