The economic problem Flashcards
1
Q
basic problem of economics
A
People have finite needs ,
but infinite wants
Work out what to produce ,
how to produce it and for whom production should take place
2
Q
scarcity
A
when the demand for a resource is greater than the supply of that resource, as resources are limited
3
Q
renewable resource
A
resource of economic value that can be replenished or
replaced on a level equal to consumption
4
Q
non-renewable resource
A
a resource of economic value that cannot be readily
replaced by natural means on a level equal to consumption
5
Q
factors of production
A
land
labour
capital
entrepreneurship
