Economy Basics
Physical items that people make or buy.
Goods
What type of economy allows buyers and sellers to decide prices and products?
Market Economy
The type of money used in a particular place
Currency
What is it called when people have unlimited wants but only limited resources (like money or time) to get them?
Scarcity
Actions or jobs that people do for others. (teaching, cutting hair, mowing grass)
SERVICES
What type of economy is it when the government decides what to make, how much to make, and how much it will cost?
Command Economy
To trade one type of good or service for another
Barter
When you have to choose between two items, this refers to the value of the item you did not buy.
Opportunity Cost
Something people would like to have, but do not need to survive.
Wants
This is the whole system of making things and buying things to help people get what they want/need
Economy
A rise in the usual price of many goods and services
Inflation
What do you call a message, like a commercial on TV or a picture on a billboard, that tries to make you buy something?
Advertisement
A person or business who buys things and uses goods and services.
Consumer
In every economy, producers use resources to create goods and services. These resources can be natural, capital, or _____.
Human
The money a business has left over after it pays all of its costs
Profit
The small amount of extra money a bank gives you as a thank you for keeping your money with them
Interest
A person or business that makes goods and provides services to people
Producer
An ______ is something a country sells to other countries. (Hint: Oklahoma's top ____ is airplane parts)
Export
A person who comes up with their own idea for something people might or need and starts their own business.
Entrepreneur
Things that encourage you to do something, such as buying a product. (candy at the cash register)
Incentive