Economic Concepts

Selection of an item from a set of possible alternatives

• production

• scarcity

• choice

• opportunity cost

The combining of human, natural, capital, and entrepreneurship resources to make goods or provide services

• consumption

• production

• distribution

• resources

Something which incites or motivates consumers to economic behavior or to change economic behavior

• supply

• choice

• scarcity

• incentive

Inability to satisfy all wants at the same time

• scarcity

• opportunity cost

• consumer sovereignty

• demand

That which is given up when a choice is made (the second best alternative) "It's what you lose when you choose."

• choice

• resources

• opportunity cost

• price

Machines, tools, money, factories, etc.

• entrepreneurship

• capital resources

• human resources

• natural resources

Factors of production that are used in the production of goods and services

• production

• consumption

• supply

• resources

The amount of a good or service that producers are willing and able to offer for sale

• demand

• price

• supply

• choice

The amount of money exchanged for a good or service

• demand

• market

• price

• money

The amount of a good or service that consumers are willing to buy at different prices

• supply

• resources

• choice

• demand