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Side ASide B
The science that deals with the production, allocation, and use of goods and services, it is important to study how resources can best be distributed to meet the needs of the...
Because the US bases everything on price and competition, two economic questions our society must ask is for ______________ they should produce and ____________ they should produce...
In economics, when you exchange one good for another, you are making a
When you make one choice, you give up another. The thing that you give up is called
remain constant despite production
change based on production factors
extra cost of producing one additional unit of output
Both producers and consumers use __________ what goods to produce and what prices to charge for those goods.
A circular flow of economic activities takes place between______.
consumers, businesses, the government and foreign sectors
A measure of the amount of output produced by a given amount of inputs in a specific period of time is called
When production and labor focuses on a single skill or activity to improve productivity, this is known as
When a job is broken down into into separate, smaller tasks performed by different workers for better productivity, this is called
division of labor
A market is a location or other situation that allows buyers and sellers to exchange a certain economic product. Markets can be
local, regional, national, and global
Two concepts underlie the market system
people can work for economic gain and government should have a very limited role in the economy.
Adam Smith’s idea that economies work best without lots of rules and regulations from the government is
The economic system based on private or corporate ownership of, production and distribution is
Capitalism thrives on this concept which centers around producers and consumers struggling over who gets the better price for goods and services
With this aspect of capitalism, the government should have little to no interfere in the economy
things that you must have to survive. Example: food, water, shelter.
things that you would like to have, but are not necessary for survival. Example: mansion, ipod, newest pair of sneakers.