Goods and Services
Physical items that can be bought or sold.
What are goods?
The amount of goods or services available for people to buy.
What is supply?
The process of buying and selling goods or services.
What is trade?
When demand for a product or service is greater than its supply
Scarcity
Jobs people do for others in exchange for money
What are services?
The desire or need for a product or service.
What is demand?
The money people earn by working.
What is income?
The value of the next best alternative that is given up when a choice is made
Opportunity cost
Someone who creates goods or provides services.
What is a producer?
When the demand for a product is higher than the supply.
What is scarcity?
The amount of money required to buy something.
What is cost?
Many companies offer similar but differentiated products or services
Monopoly
Something you pay for that is not a physical item.
What is a service?
The cost of a good or service in a competitive market.
What is price?
The money left after all expenses are paid.
What is profit?
The rivalry between businesses to gain an advantage in the market
Competition
Goods that are made by humans rather than nature.
What are man-made goods?
When the supply of a product is greater than the demand.
What is surplus?
The act of choosing one thing over another.
What is a choice?
When multiple countries, businesses, or individuals depend on each other for the supply of goods and services
Interdependence