Economic Basics
Is the study of how people meet their wants and needs.
Economics
What is a market?
An organized way for producers and consumers to trade goods and services.
Is an economy in which people make economic decisions based on their customs and habits.
Traditional Economy
Is a economic growth or an increase in living standars?
Development
Is a factor that encourages people to act in a certain way.
Incentive
The increase in prices is called what?
Inflation
What is a market economy?
An economy in which individual consumers and producers make economic decisions.
What is Gross domestic product (GDP)?
Is the total value of all goods and services produced in a country in a year.
What is the difference between Producers and Consumers?
Producers are people or businesses that make and sell products.
Consumers are people or businesses that buy or consume products.
What are the four levels of Economic Activity?
Primary Industry, Secondary Industry, Tertiary Industry and Quaternary Industry
What are the four basic enomic systems?
Traditional Economy, Market Economy, Command Economy and Mixed Economy
How can a country improve development?
By increasing productivity
What are the 3 factors of production?
Land, Labor and Capital
Profit is the money a company has left after subracting the costs of doing business and Revenue is the money earned by selling goods and services.
Name 3 countries that have command economy.
Norh Korea
Cuba
Venezuela
What is the difference between a developed country and developing countries?
A developed country is a country with a strong economy and high standard of living. Developing countries or countries with less-productive economies and lower standards of living.
Give an example of taking an opportunity cost.
Will be correct as long is explain how to make a choice giving up something to get other thing.
Name 5 different currencies in the world.
Answer will vary
True or False: Government make some economic decisions by passing laws to protect consumers rights?
True
What 3 factors do economist use to study development?
People´s education, literacy and life expectancy. (also might be: purchasing power or ability to buy goods and services)