Terms 1
What is a need? Give an example
Something essential for survival
A situation in which consumers want more of a good or service than producers are willing to make available at particular prices
Shortage
Use of resources in such a way as to maximise the output of goods and services
Efficiency
Process of deciding how much more or less to do
Thinking at the Margin
In the first Super Mario Bros. Game, in which level is the first three-wrold secret exit?
World 1-2
Something that people desire but that is not necessary for survival
Land, Labor, Capital, Entrepreneur
Factors of Production
The extra cost of adding a unit
Marginal Cost
The use of fewer resources than an economy is capable of using
Underutilization
What is the Count's full name on Sesame Street?
Count Von Count
What is the difference between a good and a service?
Goods: Physical Objects that someone produces
Services: The actions or activities that one person performs for another
What is Human Capital?
Knowledge and skills a worker going through education and experience
The extra benefit of adding a unit
Marginal Benefit
When production shifts from making one good or service to another more and more resources are needed to increase production of the second good or service
Law of Increasing Cost
What extinct bird got its name from a Portuguese word meaning "simpleton"
Dodo
What is Scarcity?
The principle that limited amounts of goods and services are available to meet unlimited wants
Expressing the idea that a country that decides to produce more military goods then has fewer resources to produce consumer goods
Guns or Better
The most desirable alternative given up as the result of a decision
Opportunity Cost
A person who decides how to combine resources to create goods and services
Entrepreneur
What country does not tolerate outdoor Christmas Lights?
Saudi Arabia
What is the study of how people seek to satisfy their needs and wants by making choices
Economics
Decision-making process in which you compare what you will sacrifice and gain by a specific action
Cost/Benefit Analysis
The alternatives that we give up when we choose one course of action over another
Trade-Off
A graph that shows alternative ways to use an economy's productive resources
Production Possibilities Curve
What is the name of Ronald McDonald's big purple friend who loves McDonald's milkshakes?
Grimace