The nature + purpose of economic activity Flashcards
1
Q
Main purpose of economic activity
A
Production of goods + services to satisfy the ever changing needs and wants of consumers
2
Q
Economics is concerned with…
A
Converting inputs to outputs. The resources we need to use to be able to produce the goods and services that we want.
3
Q
How do we know what resources we need to produce the goods + services we want
A
What goods and services to produce
How best to produce goods and services
Who is to receive goods and services
WHAT HOW WHO
4
Q
What is a need?
A
Something we need in order to live and survive
5
Q
What is a want?
A
Something we would like to have but it is not essential for survival
