VA SOL - 11 - 12 - Economics

______ is the inability to satisfy all wants at the same time because all resources and goods are limited.

• scarcity

• resources

• opportunity cost

• production

• consumption

_______ are factors of production that are used in the production of goods and services. Examples are natural, human, capital, and entrepreneurship

• scarcity

• resources

• choice

• production

• consumption

A tree is what type of resource?

• human

• natural

• capital

• entrepreneurship

A tractor is what type of resource?

• human

• natural

• capital

• entrepreneurship

______ - is a selection of an item or action from a set of possible alternatives.

• scarcity

• resources

• choice

• production

• consumption

______ - is what is given up when a choice is made (the second best alternative.

• scarcity

• resources

• opportunity cost

• production

Sally got $20 for her birthday. She is deciding whether to save the money, go to the movies, or buy a new sweater. She decides that buying the sweater is her first choice, saving the money is her second choice, and going to the movies is her third choice. What is Sally's opportunity cost by choosing to buy the sweater?

• saving the money

• going to the movie

• buying the sweater

______ - is the combining of the four resources to make goods or provide services.

• opportunity cost

• production

• consumption

• resources

______ - is the using of goods and services.

• consumption

• production

• opportunity cost

• resources

What type of economy is based on custom and historical precedents?

• traditional

• free market

• command

• mixed