Economic Terms

Who is a person who takes a risk to start a business?

• Consumer
• Entrepreneur 
• Labor
• Capital

An undeveloped economy in which customs and habits from the past determine how decisions will be made; may be found in rural areas with high levels of subsistence farming and rely on barter rather than currency

• Market
• Command
• Traditional

Most decisions of production and distribution are made by individuals and firms.

• Market
• Command
• Traditional 

Government officials make most of the decisions regarding production and distribution of goods and services.

• Market
• Command
• Traditional

The market value of all final goods and services produced in a country in a calendar year.

• Labor
• Market
• Gross Domestic Product

Business (ran by private citizens) determine what goods/services are produced and how they will be made.

• Market
• Command
• Traditional
• Mixed

Businesses make economic decisions, but the government regulates them to make sure they’re safe/fair.

• Market
• Command
• Traditional
• Mixed

People focus on producing a few things instead of making everything they want by themselves is called...

• Economic Resources
• Scarcity
• Specialization

Resources such as rivers, fish, trees and oil are called________________________.

• human resources
• capital resources
• natural resources
• goods

Investing in the skills and knowledge of a work force is

• human capital

• natural resources

• capital goods

• specialization