Economics
The condition that results from society not having enough resources to produce all the things people would like to have.
What is Scarcity
Economic system where the government controls the factors of production
Command
Haircuts, home repairs, and forms of entertainment are examples of…
What are services?
A tractor is an example of which factor of production?
capital
The PPC curve itself represents
efficiency OR the most possible production of goods
Next best alternative
opportunity cost
A system where economic decisions are based on long-standing customs, traditions, and beliefs
Traditional economy
A speeding ticket is which type of incentive?
Negative
A cow is an example of which factor of production?
land
A point inside the PPC represents
unemployment/inefficiency
What is it called when a person gives up going to college to obtain a degree by going to the NBA?
What is Opportunity Cost?
Private property rights (being able to own your own house) is a characteristic of which economic system?
Market economy
If I let whoever gets to class first have a free homework pass, which allocation strategy is this?
First come, first serve
If john works at burger king, which factor of production is john?
Labor
A point outside of the PPC represents...
Unattainability/impossible production
Bangladesh is a major producer and exporter of textiles and focuses just on making those items. This is an example of:
What is specialization
America is what type of economy?
Mixed
Relationship between inputs and outputs
Productivity
Knowledge and skills acquired in order to complete a job or task
human capital
What are three things that can cause economic growth?
Increase in Technology, Population, or Resources
How do you know which option should be chosen from a list of alternatives?
The marginal benefit is greater than or equal to the marginal cost
Workers having no motivation for innovation or advancement is a characteristic of what economic system?
Command Economy
The Government ensuring quality and safety of products is
Government Regulations
Entrepreneurs are motivated to take financial risk in an effort to gain what?
Profit
If an economy is producing 16 units of guns and 12 units of butter and moves to producing 8 units of guns and 18 units of butter what is the opportunity cost?
8 units of guns