Economics

What is the purpose of a budget?

• to keep track of how much you spend and save

• to make an income

• to have expenses

• to spend more money

What is income?

• a way to keep track of your money

• the money you make for doing a job

• the money you spend

What are expenses?

• a way to keep track of your money

• the money you make for doing a job

• the things you spend money on

Opportunity cost is ____________________.

• the value of what is given up when a choice is made

• a prize

• the money you earn from a job

A student chooses to watch Netflix instead of Disney Plus. What is the opportunity cost?

• Netflix

• Disney Plus

A ________ __________ is used to affect people's behavior and motivate them to buy certain goods.

• opportunity cost

• price incentive

• capital good

Which of the following are examples of price incentives?

• Buy one, get one free

• 1/2 price

• 20% off

• clearance

• $40

An entrepreneur is ________________.

• someone who takes a risk and starts their own business.

• something that can be used to increase production

• tools needed for making things

To do one thing very well is called __________________.

• supply

• demand

• consumer

• specialization

Wendy's specialization is __________________.

• shoes

• clothes

• hamburgers

• ice cream