Scarcity, Choice, & Opportunity Cost 1.1 Flashcards
1
Q
What are the factors of production?
A
- Capital
- Enterprise
- Labor
- Land
Abbreviation to help remember these factors of production : “C.E.L.L”
2
Q
Define the term “Opportunity Cost”
A
The benefit of the next most desired option that was given up.
3
Q
Define the term “Capital”
A
Man made aids to production.
