vocab
theres a shortage in shin ramen noodles. Ms.Kelly as well as everyone else are very upset about this. what is this an example of?
scarcity
Kelley gave up getting the d to go to class. in loss of finally getting that d she went to class to better her education this is an example of?
opportunity cost
what does the government use their expenditures on?
goods and services
social welfare
transfers to state and local governments
what is money flow?
movement of money and payments. getting paychecks or buying goods.
what are the 3 types of federal tax Ms.Kelley has to pay?
personal income tax
corporate tax
social security tax
ms Kelley keeping tabs on her bachelors is an example of
micro expansion
what changes supply?
prices of goods, prices of resources, number of sellers, expected future prices,
what does the government do in a circular flow?
they buy goods and services from firms while households pay taxes and receive transfers.
what are the 3 types of state taxes Ms.Kelly has to pay?
sales tax
property tax
income tax
what are the factors of production?
land
labor
capital(money)
what changes demand.
income, expected future prices, price of good, preference
what are capital goods
goods that are brought by businesses to increase their production of resources.
Ms.Kelly agreed to make an arrangement with some creepy guy over the phone. what is this an example of?
market
since Kelley has little experience on the d shes not worth much to the crack heads. this is an example of?
human capital
what is the circular flow model used for?
to show how money goods and services move through the economy, it can help decide what is produced, how its made and who gets it.
what is a trade off
when you decide to give something up for something better
Ms.Kelley wants to open a ramen shop but there are already 5 ramen shops in her town. what is this an example of?
competitive market
what is economics
social science to study human behavior and how they make choices
what is real flow?
movement of goods, services, and resources between households and businesses.
what are incentives
something that makes or motivates you to do something. (getting paid will motivate you to keep working)