Econ Fundamentals

Front

Economics is the study of ______________

Back

Choices

Front

Scarcity is best defined as:

Back

The fundamental economic problem of limited resources and unlimited wants.

Front

Explain how natural disasters can affect scarcity.

Back

Natural disasters can destroy or damage resources, leading to scarcity.

Front

The economic resources needed to produce goods and services are

Back

Factors of Production

Front

The human time and effort that go into the making of products

Back

Labor

Front

Resources made and used by people to produce and distribute goods and services

Back

Physical Capital

Front

Opportunity cost

Back

The value of the next best alternative given up when a choice is made.

Front

How is scarcity related to the concept of opportunity cost?

Back

Scarcity forces individuals, businesses, and governments to make choices, and the concept of opportunity cost helps to evaluate those choices.

Front

George earns a $250 bonus at his job for increasing his output by an additional 50% two weeks in a row. He makes a list of what he wants to buy with his bonus: 1: the latest model of Adidas athletic shoes; 2: Air Pods; 3: a new coat. He buys Adidas. What is his opportunity cost?

Back

the Air Pods

Front

What is the opportunity cost of building a new skate park with sales tax?

Back

more computers