What is the Economy
Two types of needs and wants.
What are goods and services?
Items such as seashells and pieces of metals were used for this.
What was used as currency long ago?
Before spending money on their wants, grown ups should, wisely, spend money on their _____?
What is needs?
The U.S. is divided into sectors (like agricultural and manufactoring). These sectors only serve the regions they are in.
True/false
What is false?
Producers have the right to create any goods or services they want.
What is a free enterprise system?
Being in an economy with many producers, means you have a lot of options to spend your money. You may decide to buy the video game. But that means you probably don't have money left for the soccer ball. Consumers must weigh ______ and ______ before spending their money.
What is needs and wants?
If a business raises their costs too high, then another company can open up and make their prices cheaper luring all the customers away and to the newly open business. This is called ______________.
What is competition?
Eye-catching packaging, wording to make you feel like a product is a need, convenient parking are all __________ tactics that businesses use to to encourage us to take action, like make a purchase.
What are incentives?
The process through which goods and ideas spread between different countries.
What is globalization?
To trade one type of goods or services for another type.
What is Barter?
What goods and services should be produced? How should they be produced? For whom should they be produced?
What is the three basic questions all economies should answer?
When someone has a new idea that they think can make money they are called _________. Kids can be this too if they have an idea, such a new a comic book. It costs money at first to gain supplies but it is possible to earn that money back if the idea sells.
What is an entrepreneur?
Without this, most people would suffer. They get this from work, property or businesses they own.
What is income?
_______ are goods that are brought in from another country and ______ are goods that shipped to another country.
What are Imports and Exports?
A rise in the usual price of many goods and services.
What is inflation?
What kind of economy does the United States have?
In the winter time it is harder to find a bathing suit in the stores. But come spring and they are everywhere!! This is an example of what common economic system we see here in America?
What is supply and Demand?
Since banks borrow your money they hold for you, they pay you _______ in your savings accounts.
What is interest?
One country's economy relies upon the economies in the other countries to succeed.
What is interdependence?
The amount of a resource is limited.
What is Scarcity?
Agricultural, transportation, tourism, mining, manufacturing etc are a few examples of these ________ throughout our country. They work together to help our economy grow.
What is sectors?
When there is more items produced then the _____ of that item drops. The opposite is true when the item is scarce.
What is cost?
Investing in _____ can be risky as its value can change at any given time.
What is stock?
The _______ of ______ allows for specialization which allows craftsmen to become proficient at their craft and even innovative.
What is the Division of Labor?
The value of the item you didn't buy when you decided between two items.
What is opportunity cost?