Basic Economics
When Apple decides to release a new iPhone, it is answering this basic economic question.
What to Produce?
North Korea is often used as an example of this system.
What is a command economy?
Job-training programs are often designed to improve this social goal.
What is full employment?
Interstate highways are an example of this reason governments intervene.
What are public goods?
What is profit?
Tesla choosing robots instead of additional workers is answering this basic economic question.
How to Produce?
The United States is most commonly classified as this type of economy.
What is a market economy?
Amazon's use of robotics helps improve this social goal.
What is economic efficiency?
Requiring seat belts and airbags are examples of this government action.
What are regulations?
During the COVID pandemic, shortages caused prices to rise because of these forces.
What are supply and demand?
Ferrari sells mostly to wealthy consumers, answering this economic question.
In some rural villages, children learn the same occupations their parents practiced.
What is a traditional economy?
Social Security and unemployment insurance support this goal.
What is economic security?
he FDA tests medicines primarily to protect this group.
Who are consumers?
What is entrepreneurship?
This is NOT one of the three basic economic questions.
Why to produce?
Sweden combines private businesses with extensive government services.
What is a mixed economy?
Scholarships for low-income students attempt to increase this social goal.
What is economic equity?
New food safety rules often create these for businesses.
What are higher production costs?
Earning a college degree increase this type of capital..
What is human capital?
Limited resources and unlimited wants create this economic problem.
What is scarcity?
In this system, government officials determine production and allocation decisions.
What is a command economy?
Rising prices at grocery stores are an example of this, not a social goal.
what is inflation?
SNAP benefits and housing assistance are examples of this government role.
What is redistribution of income?
Additional training allows workers to produce more in less time, increasing this...
What is productivity?