Unit 1: Basics of Economics

a useful, tangible item, such as a book, or car, that satisfies a want

• good
• service

goods intended for final use by individuals

• consumer good
• durable good
• nondurable good
• service

any good that lasts three years or more when used on a regular basis

• consumer good
• durable good
• nondurable good
• service

any good that lasts for fewer than three years when used on a regular basis

• consumer good
• durable good
• nondurable good
• service

work that is performed for someone

• consumer good
• durable good
• nondurable good
• service

a worth that can be expressed in dollar and cents

• value
• scarcity
• poverty
• abundance

we want and need many things, but there isn't enough to go around

• scarcity
• poverty
• abundance theory

the study of how people try to satisfy seemingly unlimited and competing wants through the careful use of relatively scarce resources<br />

• sociology
• economics
• anthropology
• psychology

Which one of the following is NOT a factor of production?

• labor
• capital
• entrepreneurship
• service
• land

some necessities have low value (water) but some non-necessities have high value (diamonds)

• paradox of value
• entrepreneurship
• scarcity
• needs