Supply and Demand
Factors of Production
Key concepts:
Economic Systems
Needs vs. Wants
100

When the supply is low...

The demand is high.

100
What is the Factors of Production Definition?

All components necessary to produce a society's goods/services.

100

What is economics?

The study of how we use limited resources to fulfill unlimited needs and wants.

100

What is an economic system?

The survival of any society depends on its ability to provide food, clothing, and shelter for its people. Because these societies face scarcity, decisions concerning What, how, and for whom to produce must be made.

100

Is a dog a need?

No.

200

When the demand is low, but the supply is high?

A surplus.

200

Name one type of Natural Resources:

1. renewable

2. nonrenewable

200

Define Scarcity:

When we don't have enough resources to produce all of the things we would like to have.

200

Name three types of economic systems.

Traditional

Market

Command

Mixed

(only need 3)

200

Is food a need?

Yes.

300

As a seller, what do you do to the price of a product when the demand is high...

You increase the price.

300

Capital resource definition:

Things used to produce goods/services, like buildings, materials and equipment.

300

What are goods?

Goods are things that can be physically weighed and measured.

300

What is a market economy?

System in which economic decisions are made in the marketplace according to the laws of supply and     demand.

300

Def. of a Need:

require (something) because it is essential or very important.

400

As a seller, what do you do to the price of a product when the supply is low...

You increase the price.

400

Human resources definition:

Knowledge, efforts, and skills people bring to their work, also called labor.

400

What are services?

They are tasks that people or machines perform.

400

What is a traditional market?

Tradition and custom govern decisions. Found in rural underdeveloped countries.

400

Def. of a want:

have a desire to possess or do (something); wish for.

500

What is it called when the demand is higher than the supply?

A shortage.

500

Entrepreneurial Resources definition:

The initiative to improve goods and services or create new ones.

500

What is a recource?

It is anything that people can use to make or obtain what they want or need. Also known as the factors of production.

500

What is a command system?

It is a system in which a central authority such as the state makes the key economic decisions.

500

Is money a need or want?

Both (could be argued).

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