Economic Systems
Resources
Production Possibility
Vocabuary
Hodgepodge
100
A system in which the government controls ALL of the factors of production
What is planned economy or communism
100
The concept that there is a fixed amount of resources
What is scarcity
100
the law demonstrated by the production possibility curve
What is law of increasing opportunity costs
100
The graph of the maximum of two goods that can be produced with available resources
What is production possibility curve
100
ipod vs food
What is a want vs need
200
A system in which individuals own the factors of production and the government stays out of economics
What is market economy
200
Patent, experiment, new process
What is entrepreneurship
200
In order to shift the curve to out/to the right you need
What is additional resources
200
what you give up for each choice you make
What is opportunity cost
200
The graphic of the market economy showing the flow of resources from businesses to households and viceversa
What is circular flow model
300
A system in which culture or religion sets the economic principles
What is traditional economy
300
Oil or diamonds in the ground
What is land
300
The production possibilty curve shows the most ______________ use of current resources
What is efficient
300
The market where businesses sell goods and households buy goods
What is product market
300
when individual workers focus on one task
What is specialization
400
An economic system that is moving from a planned to a market economy
What is transitional
400
tractors, seed drills, & bulldozers
What is capital
400
A point inside the production possiblity curve indicates a/an ____________ use of resources
What is inefficient
400
sorts the production process into tasks to be carried out by separate workers
What is division of labor
400
He is the father of laissez faire
Who is Adam Smith
500
The US economic system
What is mixed economy
500
money
What is none of factors of production
500
Alternatives we make when making choices
What is trade-off
500
The worker with the lower opportunity cost should produce the good
What is comparative advantage
500
Being able to produce with fewer resources
What is absolute advantage
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