Economics 1
You vacuum th ehouse, your sister celans the bathroom, and your father folds the laundry. This is an example of:
Divison of labor
Many people in the US live (beyond?/within?) their means.
Beyond
People usually borrow money from banks to buy: clothes? food? a home? which one?
A home because it is such a large expense
What is a resource?
What is tax?
Money paid to the government
The grocery store normally gets 600 apples. This week it gets 1,200 punds of apples. What is likely to happen next?
The price of apples will go down
Mcdonalds sells cheeseburgers while Adidas sells shoes. This is an example of:
Specialization
What is scarcity?
What is an employer?
Someone who hired workers and pays wages; the boss
What is the MAIN benefit of having a checking account?
To keep your money safe from theft or loss
They both pay the same amount
What is supply?
What is specialization?
The electronics store has decided to raise prices on its computers. What do you think will happen next on the customers part?
There will be fewer people buying computers
What is a checking account?
What is a business's role in the economy?
Produce and sell goods and services
When prices are high, demand goes down. When prices are low, demand goes up. If there is a shortage on soccer balls on the market, the price of soccer balls will...?
Increase
What is your role in the economy?
Your role is to purchase and consume goods, to pay taxes, and to work
What is opportunity cost?
What you are willing to give up in order to buy something else (wants vs needs)
What is competition in economics?
Rivalry between 2 businesses to get more customers
What is the government's role in the economy?
The government collects taxes
Spending money the right way takes knowledgte and practice. What is the MOST likely reason that people comparison shop?
To get the best deal
Saving money in a bank earns interest for your account. Why does the bank pay interest?
Because it is using your money when you are not
Companies in the US and Canada often buy and sell things to one another. This is an example of:
Voluntary trade
Economy in which people make business decisions, not the government; people choose what to make or buy