Economics Unit 1 SHS

Basic Economic Problem: Mismatch of unlimited wants and needs and unlimited economic resources.

• True
• False

____________ The actual thing you gave up to have something else. Everything has a cost

• Opportunity Cost
• Tradeoff
• Incentive

_____________ anything that it used to make a good or service.

• Resources
• Good
• Service

______________ not having enough resources to satisfy all of the needs/wants

• Scarcity

• Opportunity Cost

• Tradeoff

Scarcity forces people to_____________________

• Make Choices

• satisfy all their wants and needs

• Give up opportunity cost

Economics is the study of how people seek to satisfy their needs and wants by making choices.

• True
• False

Economics is the study of ______________

• Money

• How to get rich

• Consequences and Punishments

• Choices

Incentives are ______________

• A set of external motivators that help people make choices.

• Whatever you are giving up to do something.

• The tension caused by infinite wants and finite resources.

• The study of production, employment, prices, and policies on a nationwide scale

What are the four types of resources? Choose all that apply?

• Land

• Labor

• Capital

• Entrepreneurship.

Oil, water, and wood are examples of ______________ resources.

• Land

• Labor

• Capital

• Entrepreneurship