Types of Resources
The Human resource
What is labor?
In economics, its always a forgone opportunity
What is cost?
This saying may cost you a couple extra hundred dollars when purchasing washers, dryers, and grills, although its parts are not.
What is "Made in the U.S.A."
All things from which individuals derive satisfaction and are, thus, valued
What are goods?
Society’s pool of applied knowledge concerning how goods and services can be produced
What is technology?
Natural resources; the gifts of nature
What is Land?
Funny enough, it is not objectively definable
What are needs?
The division of productive activities
What is specialization?
Goods and services produced from scarce resources
Tasks that are performed for someone else
What are services?
All manufactured resources
What is physical capital?
Unlimited, Desirable things that people wish to have.
What are wants?
The ability to produce more unity
of a good or using a given quantity
of labor or service resource inputs
What is Absolute Advantage?
DAILY DOUBLE
The use of goods and services
for personal satisfaction
What is consumption?
A person who organizes, manages, and assembles the other resources
What is entrepreneurship?
The highest-valued, next-best alternative that must be sacrificed to attain something or satisfy a want
What is opportunity cost?
Assigning different workers different tasks to produce a good or service
What is division of labor?
Goods used to produce other goods
What are Capital Goods?
This represents all possible maximum combinations of total output that could be produced.
What is a production possibility curve?
What is human capital?
What happens when ingredients, or resources, for producing things that people desire are insufficient to satisfy all wants.
What is scarcity?
The ability to produce a good or service at a lower opportunity cost.
What is comparative advantage?
Goods produced for personal satisfaction
What are Consumer goods?
As society attempts to produce more of a good, the opportunity cost of additional units of that good generally increases.
What is the Law of Increasing Relative Costs