Scarcity

What is an economic want?

• Things people need in order to survive.

• Things people would like to have, but aren't necessary for survival

• Things people don't want anymore.

Why do all societies have to make decisions about how resources will be used?

• People are greedy

• There are not enough resources for those who want them

• Resources are too expensive for most people

• Because there is a huge gap between the rich and poor

What is the fundamental problem in Economics - it is what forces all of us into making choices?

• Too many resources for the demand

• Limited wants

• Unlimited resources

• Scarcity

Which of these is NOT an example of a need?

• Water
• Food
• watch
• Shelter

Economics is the study of how people seek to satisfy their needs and wants by making choices.

• True
• False

In Economics terms, what is the "opportunity cost" of choosing when you are faced with a decision?

• All the possible alternatives other than what you chose.

• It is the cost of choosing - what you had to "give up" in order to get the thing you chose

• The price of the item.

• What you earn when you take a chance.

What is an Economic need?

• Something that people desire and is necessary for survival

• All the stuff I want

• Something that I would like to have to make my life easier

• I-Phones, cars, and diamond rings

Iron, minerals, coal and plants are examples of which productive resource?

• land
• labor
• entrepreneurship
• capital

Which factor of production would you consider a lawn mower?

• Land
• Labor
• Capital
• Entrepreneur

Land includes...

• The "gifts of nature" or natural resources not created by human effort.

• the tools, equipment, and factories used in production of goods and services

• people with all their efforts and abilities

• individuals who start a new business or bring a product to market.