Back to Basics
This area of study focuses on how humans make decisions to meet infinite needs using finite resources.
What is Economics?
_____ is what you pay for a good or service, while _____ is what you actually get out of it.
What is price and value?
What is a market (or free market) economy?
This focuses on the market area that "producers" or manufacturers participate in by providing whatever consumers "demand"
What is supply?
If I choose to attend a concert with friends instead of a movie with my family, the fun experience and bonding time with family that I miss out on is also called THIS.
What is opportunity cost?
In this type of economy, the government makes the majority of decisions regarding prices, property rights, and consumer choice.
What is a planned or command economy?
In this market term the consumer side is represented, as people purchase or refrain from purchasing goods and services "supplied" by various industries. It also affects prices.
What is demand?
In a situation where making one choice means giving up another, THIS represents the sacrifice of one option to pursue the other.
What is a trade-off?
One advantage of this economic system is its encouragement of innovation, but critics often point out that it comes at the cost of economic inequality and labor exploitation.
What is Capitalism?
This is created when demand exceeds supply of any resource.
What is scarcity?
If it takes twice as much labor to make a chair as it does a stool, according to _____________ the chair should cost twice as much as the stool.
What is the Labor Theory of Value?
This key economic and political thinker provided a framework for understanding class struggle and the exploitation inherent in capitalist systems.
Who is Karl Marx?
In this type of graph, we can plot the intersection of supply and demand to determine changes in price depending on quantity produced over time.
What is a Marshallian Cross?
According to thinkers like Adam Smith, the price of a good or service should be determined by the total cost of the resources that went into making it.
What is the classical theory of value?
According to this 18th century economist, "consumption is the sole end and purpose of all production."
Who is Adam Smith?