Basic Economic Terms

What is a natural resource?

• resource from people, work that people do or skills and knowledge people have
• a resource that comes from earth or nature
• resources made by people
• None of the above

If you are making a decision between buying pizza or hamburger and you choose pizza, what is your opportunity cost of that decision?

• The pizza

• The money you spent on the pizza

• The hamburger

• None of the above

An incentive is...

• Somethings that discourages you from making a decision...

• A penalty for making a bad decsion...

• People who make decsions...

• A factor that encourages people to act in a cetain way...

A tennis racket is an example of a __________

• Good
• Service

Al Bundy was a fine shoes salesman. Was Al a good or a service?

• Good
• Service

Which one of these is not a factor of production

• Natural Resource

• Capital

• Money

• Labor

Entrepreneurs takes __________ when starting a new business

• Reward

• Praise

• Risk

Nail salon is an example of a 

• service
• good

Any place or system that allows buyers and sellers to exchange goods and services is called a...

• Market
• Internet
• Mall
• Money

a medium of exchange used to buy and sell resources, goods,or services is...

• Interdependence
• Value and Price
• Money Currency