Key Concepts
What kind of economic system is the United States?
Mixed Economy
What type of resource is a building?
A capital resource.
What kind of want is a new bike?
A personal want
Who controls demand?
Consumers
What kind of economy is North Korea?
Command Economy
What kind of resource is the knowledge you have?
What kind of want is a new town gazebo?
A public want.
Businesses
What is the economic problem?
The study of how society chooses to use resources to produce and distribute goods and services.
Economics
True or false: Public wants could involve an entire town.
True
What is a market equilibrium?
When the quantity supplied is equal to the quantity demanded.
What are the four economic systems?
Command Economy, Mixed Economy, Market Economy, Traditional Economy
Name all of the different types of resources.
Natural Resources, Entrepreneurial Resources, Capital Resources, and Human Resources.
What are needs and wants?
- A need is something you cannot live properly without.
- A want is something you wish you could have.
What is the law of supply?
States that the quantity supplied for an item will increase when the price goes up (and vice versa)
What are factors of production?
What is scarcity?
The shortage of economic resources.
What is the difference between a private want and a public want?
- A private want is something individuals desire.
- A public want is a want that is widely shared by many people.
What is the law of demand?
States that when the quantity demanded of an item will increase if the price goes down (and vice versa)