Needs, Wants, Scarcity and Economizing Flashcards
1
Q
What are Needs?
A
Needs are goods and services which we cannot do without.
2
Q
What are Wants?
A
These are Goods and Services that we desire, but are not essential for our existence.
3
Q
What is Scarcity?
A
Scarcity is when a resource is limited.
4
Q
What is scale of preference
A
This is a list of wants arranged in order of priority.
5
Q
What is choice
A
Choice is selecting or choosing a product instead of another.
6
Q
What is opportunity cost.
A
Opportunity cost is the alternative forgone as a result of making a choice.
7
Q
What is economizing.
A
The use of resources in its best possible way and to its fullest capacity.
