The way a society organizes to produce, distribute, and consume goods and services.
Tradition determines how a society is organized to produce, distribute, and consume goods/services.
Individuals make most of the major decisions about production and distribution of goods and services
A central authority makes most of the major decisions about production and distribution of goods and services
Economic decisions are made by individuals, businesses, and government.
The worth of a good or service that is determined by the total cost of economic resources that went in to producing and providing a good or service.
The amount of a resource, good, or service sellers are willing to sell at possible prices.
How much people want of a good or service at a certain price at a certain time.
People have desires that can be satisfied with goods or services
Human, natural, and capital resources used to produce a good or service.
Wants are unlimited and resources are limited.
Goods and services are produced in better quality, quantity, and speed when someones focuses on one particular task.
People, businesses, and nations depend on others to produce their goods.
Any place that allows buyers and sellers to trade goods and services
Something that is used to buy and sell goods or services.
when something is both desirable and limited
Studies the behavior of individuals within economy
Decides what is brought and sold based on what is trending
A certain amount of product out of a given input
When an individual/ country can produce at a lower opportunity cost than another
A certain amount of input to get a given product
When an individual/ country can produce more than another using the same amount of resources
least costly production techniques are used to produce wanted goods and services
Illustrates the possible combinations of goods and services that can be produced by a single nation, firms, etc.
The evaluation of an economy to determine if the system is meeting most if not all of our needs
Made so that the marginal benefit is greater than the marginal cost
When firms buy productive resources from household
Moving from a command economy to a free/ mixed economy
Both command and market; governments makes decision
Individual producers and consumers determine what and how things are made
Limited quantities of resources to meet unlimited wants.
Resources that are used to make ALL goods and services.
Food, air, and shelter and attention we desire.
The most desirable alternative given up as the result of a decision.
An alternative we sacrifice when we make a decision.
Natural resources that are used to make goods
The effort that a person devotes to a task for which that person is paid.
Any human-made resource that is used to produce other goods and services.
The process of designing, launching, and running a new business.
use an economy's resources.
Satisfaction or utility that a person receives from consuming an additional unit of a good or service.
The cost of producing one more unit of a good.
The concentration of the productive efforts of individuals and firms on a limited number of activities.
elimination of government power in a particular industry, usually enacted to create more competition within the industry.
the state or quality of producing something, especially crops.
Situation in which allocation of goods and service is not efficient
theoretical socially-enforced constructs in economics for determining how a resource or economic good is used and owned.
service that is provided without profit to all members of a society, either by the government or a private individual or organization
product that must be purchased to be consumed, and its consumption by one individual prevents another individual from consuming it.
Where the government, rather than the free market, determines what goods should be produced
economic system consisting of a mixture of either markets and economic planning, public ownership and private ownership, or free markets and economic interventionism.
a steady long term increase in real GDP
the loss of potential gain from other alternatives when one alternative is chosen
goods used to produce more goods
a person who uses a good or service
another name for a centrally planned govt.
there is no such thing as a free lunch
give up one benefit to gain another
the rivalry among sellers trying to achieve such goals as increasing profits
a general increase in prices across an economy
a risk-taker in search of profits
a income that does not increase even when prices go up
study of how people satisfy unlimited wants through careful use of realtive scarce resource
physical objects that somone produces
the power of consumers to decide what gets producded
a financial gain
economic system that relies on habit
any government system that provides monetary assistance to people with an inadequate or no income.
gross domestic product
how much it is worth in money
the accumulation of products that are tangible, scarce, useful, and transferable from one person to another
mental/physical work or production
an economy in which prices and wages are determined mainly by supply and demand
condition that results from not having enough resources to produce all the things we would like to have
The study of how people try to satisfy seemingly unlimited and competing needs and wants.
a basic requirement for survival
something we would like to have
tangible economic product
work performed for someone
land, labor, capital, and entrepreneurs
the value of the next best alternative given up
consumer rights were part of the a movement called
sum of people's skills, abilities,health, and motiviation
learning a task very well
where all of the factors of production are bought and sold
market in which goods and services are bought and sold
factors of production
Trade which parties trade.
Benefit gained from using a good service
Choice made by one party that gives problems to another party.
Cost of using a unit of service.
The production of goods.
Shortage of resources.
Natural resources on or underground.
Human time and effort making products.
Desires satisfied by consuming goods.
Things like food, clothing, and shelter.
All resources made and used by people to distribute goods.
Alternative that you give up during economic choice.
Benefits offers to make people act a certain way.
Study how people use resources.
Person who makes goods.
Person who buys goods.
Decision is the value of best next alternative.
Basic Economic Questions
Factors of Production
Circular Flow Model
Division of Labor