The Basics
These are things that are made or grown and then sold.
What are goods?
There is not enough for everyone to have all they want.
What is scarcity?
Trade without using money.
What is barter?
What you call someone who starts their own business.
What is an entrepreneur?
The amount of something available to customers.
What is supply?
It is an action that is done to help or does work for someone else.
What is a service?
It is the best thing you give up when you choose something.
What is opportunity cost?
Something very important that helps people to trade.
What is money?
When Farmer Brown, who was using a hoe, buys a tractor to produce more corn.
What is using better capital resources?
This is what you call how much consumers want something.
What is demand?
Mollie is this if she goes to the store and buys candles for her Mom's birthday cake.
What is a consumer?
This is Mr. Johnson's opportunity cost when he wants to produce chairs or windows, and he decides to produce chairs.
What are windows?
This is who gains when Sarah and Joe barter cookies for cars.
What is both gain or win in a trade?
What happens when Mr. Smith improves his capital an gets a hoe to weed his garden instead of only using his hands.
What is increased productivity?
This is what usually happens to the price or cost of something that has a high supply (like pencils).
What is the price goes lower or not cost much?
Ginny is this if she gets paid to paint nails at her nail salon.
What is a producer or entrepreneur?
This is Sally's opportunity cost when she wants to buy one of three things, and she buys the candy, the book was her second choice and the belt was her third choice.
What is the book?
This is the result when Alice, Sam, and Susan specialize using an assembly line making and selling cookies.
What is increase productivity or make more cookies?
An entrepreneur has a great idea for a business or product.
What is a reason a person wants to be an entrepreneur?
This is what usually happens to the price or cost of something that has a low supply or is scarce (like gold).
What is the price goes higher or costs a lot?
These are natural, human and capital resources.
What are productive resources?
Because there are many things we want to buy, this happens when we chose.
What is there is always an opportunity cost?
One worker can slow down the production on an assembly line.
What is a problem of division of labor or specialization?
A person does not want the responsibility if a business doesn't make it.
What is a reason a person does NOT want to be an entrepreneur?
Something you might produce and sell if you had a business by the coast.
What is boogie boards, beach towels, beach umbrellas, swimsuits, etc?