ECONOMICS-UNIT 1 VOCAB

Which of these examples is a service?

• Mrs Chase sells guitars

• Ms. Keefer gives art supplies to consumers.

• Mrs. Chase writes books.

• Ms. Keefer provides lessons for different sports.

Which of the following are examples of goods?

• Apples, Computers, Clothing

• Firemen, Police Officers, Soldiers

• Health, Love, Friendship

Which choice best describes the economic problem of scarcity in the world?

• People have limited wants there is an unlimited amount of resources.

• People have unlimited wants but there is a limited amount of resources

• People have no wants so resources don't matter

A person or organization that uses a product or service is a(n):

• economist

• consumer

• loan shark

• producer

What is a producer?

• a person who gives goods away

• a person, company, or country that makes grows, or supplies goods for sale

• the exchanged of goods and services without the use of money

• things people would like to have

The thing that you give up (the next best alternative) when you make a decision is known as

• Choice

• Scarcity

• Opportunity Cost

• Incentive

What is the production possibilities curve?

• a graph that shows how much an economy can produce between 2 goods
• how much money something is
• the opportunity one has to give up in order to gain something else
• land, labor, capital, entrepreneurs

what is the term for giving up goods to obtain another?

• trade-offs

• opportunity costs

economics is based on the

• market and free trade concepts

• allocation of scarce resources

• study of the stock market

• transfer of money

Amber was shopping at the mall. She had $80 to spend. She found three items she liked: $75 for a pair of shoes, $70 for a jacket, and $62 for a dress. After shopping for a couple hours, she decided to borrow a pair of shoes from her cousin and to buy the jacket for $70. What was her opportunity cost?

• Shoes

• Jacket

• Dress

• Purse