Examples
Give an example of a good?
Any tangible product of value
Define Scarcity?
Fundamental economic problem resulting from limited resources and people unlimited wants
Who was the father of economics?
Adam Smith
What is a trade off?
The exchange of one thing to get the other
Which of the following is not an example of a human resource in our school?
Principal, Teacher, Custodian, Student
Student
Give an example of a natural resource?
Unaltered gifts of nature (Water, Soil, Rock, Oil, Lumber, etc.)
What is an entrepreneur?
The person who starts a business and brings together and organizes land, labor, and capital in order to produce a product
What are the three basic economic questions?
What, How and Who
Who benefits in voluntary exchange?
Both parties - the business and consumer
What does a point inside the production possibilities curve represent?
Some resources are idle or unused
Give an example of a service business?
Barber, Accountant, Lawyer, Doctor, etc
What is opportunity cost?
The cost of the next best alternative use of money
Complete the statement. Because of scarcity, we are forced to make ____?
Choices
What is not one of the three basic economic questions?
When, What, How, Who
When
The economic concept of ____ is the sum of those economic products that are tangible, scarce, useful, and transferable from one person to another.
Wealth
Give an example of a human resource?
Labor- The people who work for an organization
What is a Market?
Anywhere people can make voluntary exchanges with one another
What book did Adam Smith write?
The Wealth of Nations
What is another name for the production possibilities curve?
Production Possibilities Frontier
What does a point along the production possibilities curve represent?
Maximum combination of possible outputs. resources are fully employed
Give an example of a capital resource?
Machinery, Tools
What does a point beyond the production possibilities curve represent?
Impossible combination
What were Adam Smith's economic theories?
Invisible Hand and Laissez-Fair
What are the four factors of production?
Land (Natural), Labor (Human), Capital, Entrepreneurs
A diagram that portrays the cost of society's choice between two different goods is known as?
Production Possibilites Curve