Scarcity, Choice, and Productivity Flashcard

Front

What is the fundamental economic problem?

Back

Scarcity

Front

What is the definition of scarcity?

Back

The combination of limited resources and unlimited wants.

Front

What term describes 'the level of output that results from a given level of input'?

Back

Productivity

Front

Which of the three basic economic questions deals with deciding whether to use more machines or more workers in a factory?

Back

HOW to produce?

Front

What is the term for splitting the production process into small, individual tasks?

Back

Division of Labour

Front

A car manufacturer reorganizes its assembly line so that each worker is responsible for installing only one specific part, like the windshield or a door. This is a direct example of:

Back

Division of Labour

Front

A society must decide whether to use its limited steel reserves to build a new hospital or a new sports stadium. This dilemma directly relates to which of the three basic economic questions?

Back

WHAT to produce?

Front

A bakery finds a way to bake 100 loaves of bread using the same amount of flour, yeast, and labor that it previously used to bake only 80 loaves. This improvement is best described as an increase in:

Back

Productivity

Front

What is another disadvantage of specialization besides 'worker boredom'?

Back

Production might halt if one specialized worker is absent.

Front

A farm must decide whether to sell its harvest of vegetables at a high-end organic market or donate it to a local food bank. This decision is primarily answering the economic question of:

Back

FOR WHOM to produce?