Economic Concepts
This is the study of how people make choices to satisfy their unlimited wants and needs.
What is Economics.
This factor of production includes individuals who take risks to introduce new goods and services in search of profit.
Who are entrepreneurs.
The production possibilities curve can show whether a business is being what with its resources.
What is efficient?
This 'economic goal of society' requests that a given economic system must grow with its population in order to provide jobs and meet the ‘Standard of Living'.
What is Growth.
True or False: The United States is considered to have a true Free Market Economic System.
False, the US has a Mixed Economic System, (Although it certainly leans more towards Free Market-esk systems).
This is the idea that there are not enough resources to produce all the things we would like to have.
What is scarcity.
This factor of production includes all workers/physical labor and their apparent skills/knowledge.
What is labor.
This is the name of a point located under the efficiency curve on a PPC Graph.
What is an inefficient/underutilization point.
This 'economic goal of society' requests that a given economic system meets the needs and wants of consumers as accurately and directly as possible.
What is Efficiency.
This is the trade system commonly used in the traditional economic system if they are not able to make or create it themselves.
What is the barter system.
This describes being faced with a choice; the name given to the actual situation in which you are choosing from choices.
What are tradeoffs.
This factor of production includes all natural/raw materials on earth.
What is Land.
This is a point indicating an unattainable economic output for a company's PPC Graph AND this is its general location on said graph.
What is an Impossible Point, located outside of the curve on a PPC Graph.
This economic system is also known as a 'centrally planned economy'.
What is a Command Economic System.
A surgical resident choosing to focus solely on cardiothoracic surgeries would be an example of this.(shout out: Cristina Yang #IYKYK)
What is specialization?
These are items that satisfy human wants and provide utility AND These are task that is performed for a buyer without any goods being exchanged
What are Goods and Services
This factor of production includes all man-made products used to produce goods/services.
What is capital.
This is the name of the curve on the PPC chart.
What is the frontier?
This economic system answers the three basic economic questions using businesses (producers) and private individuals (consumers).
What is the Free Market Economic System
The cost (or benefit) of adding one additional unit in a given tradeoff is known as ________ Cost (or ______ Benefit- both blanks are the same word)
What is Marginal.
This is the most desirable alternative a person gives up when making a decision.
What is Opportunity Cost.
List one example of each of the factors of production that a company would need to produce a pencil.
If you're seeing this, you guessed it right!
This one reason a PPC Graph may experience growth AND one reason a PPC Graph may experience decline
What are:
Growth: Accumulation of capital/ Technological advances/ Increase in population – immigrants, birth rates increase/ Available land or improvements to land
Decline: Decrease in population –disease, catastrophe, war, birth rates decline/ Loss of land – war or natural disaster/ Decrease in production due to aging population, more uneducated population, less healthy population
This economic system considers itself successful if it meets basic requirement for livelihood (food, water, shelter, companionship, etc.)
What is the Traditional Economic System.
Who is your favorite teacher at BHS?
100%, without a doubt, ZERO competition...it's Mrs. Medford