Standard 1
Standard 1 pt. 2
Standard 2
Standard 3 & 4
Vocab
100
Occurs when limited resources exceed unlimited wants and needs.
What is scarcity
100
The next best option that you did not choose.
What is a trade-off
100
Shows alternative ways for an economy to use their limited resources.
What is production possibilities frontier
100
The ability for businesses or individuals to turn inputs into outputs.
What is productivity
200
These items are necessary for survival.
What is a need
200
The cost of the next best option.
What is opportunity cost
200
A decision in which the benefits outweigh the costs.
What is rational decision making
300
These items are not needed for survival but people would like to have.
What is a want
300
The economy is using all of its resources to its full potential and not wasting any of these resources.
What is full production
300
Using technology to improve on an existing product.
What is innovation
300
The extra cost of producing one additional unit of a good.
What is marginal cost
400
Physical items that a business or individual produces.
What is a good
400
Any man made product used to create something else.
What is a capital good
400
The economy has the potential to create more, but is wasting resources and not using them effectively.
What is under production
400
Doing something because of a reward.
What is positive incentive
400
The extra benefit received by adding one additional unit of a good.
What is marginal benefit
500
Actions that one individual does for another individual.
What is a service
500
Anyone who starts a business and takes a risk.
What is entrepreneurship
500
Not possible as the economy does not have enough resources to produce at the level.
What is over production
500
Doing something for fear of punishment.
What is negative incentive
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