Ch. 1 What is Economics

work that is performed for someone

• good
• service
• human capital
• market

location or other mechanism that allows buyers and sellers to exchange a certain economic product

• land
• capital
• market
• sservice

an item that is economically useful or satisfies an economic want

• good
• service
• need
• value

a measure of the amount of output produced by a given amount of inputs in a specific period of time

• paradox of value
• wealth
• trade-off
• productivity

the sum of the skills, abilities, health, and motivation of people

• human capital
• paradox of value
• economics
• production

Diagram representing maximum combinations of goods and/or services an economy can produce when all   resources are fully employed

• cost-benefit analysis
• production possibilities frontier
• factors of production
• paradox of value

A good that will not last three years

• durable good
• non-durable good
• utility
• capital

A good that will last more than at least three years

• durable good
• non-durable good
• utility
• capital

the situation in which some non-necessities have a much higher value than other necessities

• capital good
• production possibilities frontier
• opportunity cost
• paradox of value

Manufactured goods needed to produce other goods and services are called ________.

• non-durable goods
• consumer goods
• capital goods
• Gross Domestic Product (GDP)