Basic Econ
Economic branch that studies the economy as a whole
What is macroeconomics?
Things people must have to survive
What are needs?
Money that you earn regularly
What is income?
The purpose of a budget is to do this.
What is track income and expenses?
Uncertainty about outcomes defines this term
What is risk?
Refers to the economic problem of having limited resources and unlimited wants
The choice given up when making a decision
What is opportunity cost?
Someone who buys goods and services in the product market
What is a consumer? (or household)
Total assets minus debts
What is wealth?
A savings account generally provides ____ risk, _____ reward
What is low risk and low reward/interest?
When quantity demanded is greater than quantity supplied, this occurs
What is shortage?
If you spend money on sneakers instead of saving it, what is the opportunity cost?
What is the money you could have saved?
Households sell this in the factor market.
What is labor?
Withdrawing money from an ATM that does not belong to your bank may result in this charge.
What is an ATM fee?
Collectibles are considered this type of investment
What is high risk?
When businesses have leftover products because too much was produced, this occurs.
What is surplus?
Expenses that change month to month making budgeting difficult.
What are variable expenses?
This visual representation explains how the product market and factor market are connected.
What is the circular flow model?
Banks accept deposits and do this with the money
What is offer loans?
An investment option with high returns but also high risk.
What are stocks/ crypto?
The study of how a single market adjusts when costs rise is part of this branch of economics.
What is microeconomics?
If someone consistently spends more than they earn, what will eventually happen?
What is accumulating debt?
In the labor market, firms demand one thing and supply another. Name both.
What are labor and wages?
The charge for borrowing money usually from credit cards
What is interest?
A Certificate of Deposit (CD) is best for people who are willing to do this.
What is leave money untouched for a set/long period to earn interest