Fundamentals of Economics

Economics is the study of how ______________, _________________, and ___________________ use their scarce or limited resources.

• People

• government

• nations

• businesses

What are the 4 factors of production?

• Natural resources

• capital

• Air

• labor

• entrepreneurs

What is the difference between wants and needs?

(a)  

What is specialization?

• resources to produce a single or few kinds of goods/services

• amount of goods/services produced by a worker or business in a given time frame

• Not enough of a certain resource to satisfy persons wants or needs

• Workers

What are the types of economics systems?

• Command

• Traditional

• Market

• Mixed

• Government

What is a mixed economic system?

• both individuals and government make decisions

• completed run by the government

• Individuals make the decisions

• Corporations make the decisions

What economic goals do most countries share?

• Efficiency

• Freedom

• Growth

• Security

Sweden is what type of market system?

• Traditional

• Market

• Mixed

• Command

Russia after World War II was which type of government?

• Traditional

• Command

• Market

• Mixed

Tools and machines, a person or a business uses to produce goods and services is called _________?

• Capital

• Scarcity

• Specialization

• Opportunity Cost