The Economc Problem Flashcards
What are ‘goods’?
Things that are produced to be sold
What does it mean to be ‘finite’?
having an end or a limit
What is fertile soil?
It’s a ground that is capable of producing crops
What’s healthcare food?
It’s the activity of looking after people’s health(considered to be an industry)
What are needs?
The basic requirements for human survival
What are wants?
people’s desires for goods and services
What does it mean to be infinite?
without limits
What’s the basic economic plan?
It’s the allocation of a nation’s scarce resources between competing uses that represent infinite wants
What are scarce resources?
It’s the amount of resources available when supply is limited
What does it mean to allocate?
to decide officially that a particular amount of money, time, etc. should be used for a particular purpose.
What’s distribution?
It’s the act of sharing things among a large group of people in a planned way.
What are choices?
It’s the deciding between alternative uses of scarce resources.
What’s sacrifice?
It’s something valuable that you decide not to have, in order to get something that is more important
What’s opportunity cost?
Cost of the next best alternative given up (when making a choice)
What’s expenditure?
It’s the spending by a government, usually a national government
What does it mean to ‘eliminate’?
to get rid of something unnecessary or unwanted
What are capital goods?
Goods that are those which is purchased by firms and used to produce other goods such as factories machinery, tools, and equipment
What are consumer goods?
Goods that are those which is purchased by households such as food, confectionery, cars, tablets, and furniture
What’s a production possibility curve (PPC)?
Line that shows the different combinations of two goods an economy can produce if all resources are used up
What’s an economic growth?
An Increase in the level of output by a nation
What does it mean by the term ‘proportion’?
Part of a number or an amount, considered in relation to the whole
What’s vocational?
Training that teaches you the skills you need to do a particular job
What’s agricultural?
Practice or science of farming
What can cause negative economic growth?
Negative economic growth can be caused by resource depletion, adverse weather patterns, emigration of skilled workers, and wars/natural disasters.
