Three Economic Questions
This economic question asks what products society should make.
What goods and services should be produced?
One example of a factor of production is this natural resource.
land
Profit is money left after all ______ are paid.
costs of production
Markets exist because people have unlimited wants but limited ______.
resources
The question “What to produce?” is mainly based on this.
needs, wants, and available resources?
The four factors of production are land, labor, capital, and _______.
entrepreneurship
Entrepreneurs are people who start businesses and take ______.
risks
Markets help answer “What to produce,” “How to produce,” and ______.
Who gets what is produced
This economic question focuses on methods of production.
“How should goods and services be produced?
The factor payment for labor is called this.
wages
Profit is NOT the same as this, which is money paid to workers.
wages
Specialization means focusing on producing one ______ instead of everything.
good or service
This economic question asks how goods are distributed.
“Who gets what is produced?”
The factor payment for land is called this.
rent
Entrepreneurs help the economy by creating new products, services, and ______.
jobs
Specialization increases efficiency because workers become skilled at one ______.
task
The Three Economic Questions exist because resources are limited but human ______ are unlimited.
wants
Entrepreneurs take risks and are rewarded with this.
profit
The factor payment for entrepreneurship is this.
profits
The organized system where buyers and sellers exchange goods is called a ______.
market