Scarcity and Oppurtunity Cost Flashcards
1
Q
Too few productive resources to make all the goods/services to satisfy all consumers
A
Scarcity
2
Q
The basic economic problem
A
Scarcity
3
Q
Cost of choosing between alternative uses of resources
A
Opportunity cost
4
Q
Choosing how best to use limited resources to satisfy consumers and maximize economic welfare
A
Resource allocation
5
Q
To find the most efficient allocation of resources
A
Aim of economics
6
Q
Uses of resources that cause dissatisfaction
A
Economic bads
7
Q
Useful way to show the opportunity cost of different production decisions
A
Production Possibility Curve
8
Q
Many of a society’s needs/wants as possible are satisfied
A
Maximizing economic welfare
