1
A need is fulfilled by
Something important like food, shelter, or water.
Physical objects that can be bought are called
Goods
Scarcity affects everyone.
Yes
Benefits that encourage people to act in certain ways are called
Incentives
The benefit or satisfaction gained from using a good or a service is called
utility
Money has to be HARD to make (and hard to counterfeit).
Scarce
A situation that exists when there are not enough resources to meet human wants is called
scarcity
Work that one person performs for another for payment is called
services
In order for money to be a unit of account, the item used must be able to be subdivided, allowing for prices to go up or down. This is the defition of
Divisible/Countable
A person who buys a good or service for personal use is called a
consumer
The study of how people use scarce (limited) resources to satisfy their unlimited wants is called
economics
Order for money to last a long time what should it be?
Durable!!!
The value of what you give up by choosing one alternative over another is called
opportunity cost
What examines the costs and expected benefits of a choice?
cost-benefit analysis
What is NOT one of the characteristics of money?
plentiful