This term describes things you might buy because they're necessary for survivial.
What are needs?
100
This is who benefits from a voluntary exchange.
What is both sides?
100
The price you pay to have your products shipped from China is an example this.
What is a transaction cost?
100
This is someone who takes an idea and turns it into a good or service for sale.
What is an entrepreneur?
100
Decisions are made here.
What is 'at the margin'?
200
Nikes, nintendo game systems and nice cars are examples of these.
What are wants?
200
Voluntary trade moves goods from people who value them this way to people who value them this way.
What are less and more?
200
This tax on goods from overseas helps companies who make similar goods in the United States.
What is a tariff?
200
If the cost of production is less than this a business would be smart to make the product.
What is the price?
200
This is the basic economic problem.
What is scarcity?
300
Before making a purchase, a consumer should consider both of these.
What are costs and benefits?
300
This is one reason some companies make their products overseas.
What is cheaper labor?
300
The law of supply says a company will produce more if this rises.
What is price?
300
This is what TINSTAAFL stands for.
What is "There is no such thing as a free lunch."
400
You might complain about paying for food -- something you really need - but you're willing to pay a lot of money for something that looks good. Diamonds and water is the classic example of this.
What is the paradox of value?
400
Some people worry that lower production costs in foreign countries cause a loss of these for Americans.
What are jobs?
400
This is achieved if the supply and the demand for a product or service are equal.
What is equilibrium?
400
Economists study these things that humans make in the face of scarcity.
What are decisions?
500
This is the name of the price I pay when I have to give up a second chance at the ACT to buy a pair of jeans.
What is opportunity cost?
500
In an example of this law, a company thinks their customers will be happy with lower prices so they move their production overseas. They never expected consumers to boycott their products.
What is the law of unintended consequences?
500
If producers use this strategy - have each worker do the thing he or she is best at - they will be more efficient.
What is specialization?
500
Changes in these affect human behavior in predictable ways.