What is Economics?

Select the basic economic question(s)

• What good/service will be produced?

• How will goods/services be produced?

• Who is going to buy the good/service?

• Where will people buy goods/services?

• What price should goods/services be sold for?

Desire individuals and nations have that can be met by getting a good or service

• Want

• Economics

• Resource

• Scarcity

The study of how individuals and nations make choices about the ways to use scarce resources to fulfill their needs and wants

• Want

• Economics

• Resource

• Scarcity

A thing that can be used--natural resources, labor, capital--to make goods or services

• Want

• Economics

• Resource

• Scarcity

Answer explanation

Labor would include the people that work to produce goods/services. Capital would include buildings and tools that are used to produce goods/services (like a factory or computers)

When there are not enough resources to produce all of the things we would like to have

• Want

• Economics

• Resource

• Scarcity

___________ is an economic system in which the decisions of what, how, and for whom to produce are based on custom or tradition/habit

___________ is an economic system in which individuals and businesses own all resources and make economic decisions on the basis of price

___________ is an economic system in which the government make the major economic decisions

______________ is a market economy that has elements of command, market, and tradition systems.

Which country would be an example of a command economy?

• New Zealand

• United States

• North Korea

• Canada