Economics
Refers to the economic problem of having limited resources with unlimited wants
What is scarcity
Things that people must have to survive
What are needs
Things that people would like to have but can live without
What are wants
were the alternative choices that you give up in favor of the choice you made.
What is trade-offs
The three different types of businesses.
1)Proprietorship
2)Partnership
3)Corporation
Theory that states as price increases, quantity demanded decreases
What is law of demand
With these types of goods, as the price of 1 goes down, the demand for the other goes up
What are complements
Tangible items that people consume or use
What are goods
is an individual who searches for profit in a new field with existing resources.
What is an entrepreneur
Name 1 advantage and 1 disadvantage of a sole proprietorship
What is answers will vary
The study of how society chooses to use scarce resources to satisfy its unlimited wants and needs
What is economics?
The "sweet spot" where price is stable and there is neither a shortage, nor a surplus.
Market Equilibrium
The effort people contribute to the production of goods and services
What is labor
Give one example of human capital
What is knowledge/skills/experience
If I lit a cigarette in class, your health would also be impacted. What is this concept known as?
What is a negative externality?
A good that last three or more years with regular use
What is a durable good
On an supply and demand graph, this area is ABOVE market equilibrium, or where quantity supplied is greater than quantity demanded
Surplus
This law states that producers will produce more when they can sell at a high price.
Law of Supply
Name one criticism (or one thing GDP does not account for) of GDP
What is standard of living?
List the 4 types of unemployment.
You'll get points for each correct answer.
What is cyclical, seasonal, frictional, structural?
With these types of goods, as the price for 1 goes up, the demand for the other good goes up
What are substitute goods?
the cost of the next best alternative us of money, time, and resources when one choice is made over another.
What is opportunity cost?
tools and machinery are examples of this type of good
What is capital good
These are the two types of price controls we discussed in class.
Extra points if you can provide an example of each
What is a price floor and a price ceiling
Name the 4 types of market structures
Bonus points if you can identify how many firms are in each type of market structure
What is monopoly, oligopoly, monopolistic competition, perfect competition.