Economics
When the demand for a good or service is greater than the availability of the good or service.
shortage
Things that people must have to survive
What are needs
Things that people would like to have but can live without
What are wants
What type of economy does the United States have?
Capitalism; market economy
Matt gets paid to hang lights for the holidays, but must find a new job every spring.
Seasonal Unemployment
Someone who buys goods and services
consumer
Actions done for others in exchange for payment
services
Products that people consume or use
goods
The desire to have a good or service and the ability to pay for it
demand
Danny wants to be an astronaut, but he can't get hired because he has a degree in American History.
Structural Unemployment
Someone who makes goods or provides services
producer
Using scarce resources to satisfy people's unlimited wants and needs is called
economics
The willingness and ability of producers to offer goods and services for sale
supply
Give an example of a factor that might increase the supply of a good or service.
Answers may vary
Paddy resigned his position as a track coach, took the summer off, and then got hired to be a football coach the following school year.
Frictional Unemployment
Give an example of a pure service (no goods involved)
Answers will vary
Give an example of a trade off
Answers will vary
Wants are unchanging and _________
unlimited
What two factors are necessary for demand?
desire for a good or service, and the ability to pay for it
Jill got fired from her construction job when a recession hit the economy.
Cyclical Unemployment
When supply exceeds demand for a good or service
Surplus
What are the four factors of production?
Land, Labor, Capital, and Entrepreneurship
Elasticity of demand
How does a government interact with the economy in a laissez faire economy?
The government does not interact with economics in a laissez faire economy.
How old are Mr. Loomis and Mr. Williams?
31 and 42