Resources
Spongebob
What is Labor?
The second best choice you gave up when you chose the first best choice.
What is Opportunity Cost?
When one country is better at making a product than another.
What is Absolute Advantage?
As price goes up, demsand goes down.
What is the Law of Demand?
For every 1% of cyclical unemployment, a 2% GDP negative gap is created. This is known as
What is Okun's Law?
Machinery
What is capital resources?
When an economy operates inside the PPC/PPF.
What is Inefficiency or Underemployment?
The ability of an economy to produce a good at a lower opportunity cost than another country.
What is Comparative Advantage.
When price goes up, supply goes up.
What is the Law of Supply?
Josh Allen wins the Super Bowl. He then releases a new line of sports gear. What happens to Demand? In which direction does the Demand curve shift?
What is increases and shifts right?
Elon Musk
What is Entrepreneurship?
Any point outside the PPC/PPF
What is Unattainable?
United States: 500 bushels of corn Mexico: 400 bushels of corn.
Who has an absolute advantage?
What is the United States?
Iron ore
What is Land?
United States: 100 cars 200 tomatoes
France: 90 cars 100 tomatoes
Who should do what?
France - cars
USA - tomatoes
Quantity Supplied is at 300 units. Quantity Demanded is at 200 Units.
What is Surplus?
Demand shifts Left and Supply shifts Left. What happens to price?
What is Price remains the same?
Money
What is financial capital? It is NOT a factor of Production.
Country A can produce one truck for every three cars it produces.
Country 'B' can produce one truck for every 4 cars it produces.
Comparative advantage - who should do what?
What is:
'A' trucks
'B' cars
The point where quantity supplied and quantity demanded meet.
What is Equilibrium?
An increase in the demand for bread follows a very harsh winter. What happens to prioce?
What is... the price of bread increases?