If people’s wants are unlimited, what is always present?
What is scarcity?
Natural resources used to produce goods and services
What is land?
When we maximize the utility of our decisions we are doing this
What is making decisions that we expect will make us better off?
The tools, machines, technology and buildings used to produce goods and services; one of the factors of production.
What is capital?
One way that a business can raise its productivity
What is getting more outputs from the same inputs?
In the classic guns-versus-butter tradeoff, what happens when a society chooses to produce guns (military goods) instead of butter (civilian goods)?
What is society maximizes its security, but lowers its standard of living.
The value of the next best alternative that is given up when you make a choice. This is the measure of what you must give up to get what you most want.
What is opportunity cost
Which statement about a country's human capital is true? A. The lower the level of human capital, the richer the nation will be. B. A country with high human capital is a wealthier nation. C. A nation's human capital is the least important form of capital in creating wealth and growth. D. There is no correlation between a country's human capital and its standard of living.
B. A country with high human capital is a wealthier nation.
One modern example of capital replacing labor is A. a student who continued her education and delays entering the workforce B. a worker who takes a minimum-wage job C. an entrepreneur starting a new business D. a robot in an automobile assembly plant
D. a robot in an automobile assembly plant
The resources used to produce goods and services.
What are factors of production.
The more of something we have, the less we want each additional unit...
What is the law of diminishing marginal utility?
To an economist, the word capital includes what?
What is the tools, machines, technology and buildings used in the production of other goods and services?
The willingness and ability to take risks involved in starting and managing a business is called this
What is entrepreneurship?
This is a temporary lack of something that is desired
What is a shortage?
How land (natural resources), labor (work for wages), and capital (tools and machines) are assembled by entrepreneurs to produce goods and services is called the ____________________ equation.
What is the production equation?
What is the opportunity cost of going to college rather than starting work immediately after high school?
What is the lost wages and work experience from the job you would have taken.