Economics Review 10/11

what is the fundamental concept of economics

• scarcity

• opportunity cost

• TINSTAAFL

• Money

Land, Labor, Capital and Entrepreneurs

• Factors of choices

• Factors of Production

• Production choices

• Supply and demand

Man made goods used to produce other goods

• capital

• land

• labor

• entrepreneurs

which of the following is not an example of capital?

• Oil

• tools

• tractors

• computers

unlimited wants with limited resources

• opportunity cost

• scarcity

• trade offs

• Entrepreneurs

Government and the people share control of the resources and production

• Capitalism

• Socialism

• Communism

people own and control the resources, start all the businesses and distribute the goods using supply and demand

• Capitalism

• Socialism

• Communism

• Command economy

Government makes all economic decisions. North Korea is an example

• Traditional Economy

• Capitalism

• Command Economy

• Market/ Mixed Economy

What type of economic system does the United states have?

• Command economy

• Traditional economy

• Mixed economy

• Market economy

Sam loves science and wants to become a doctor but he is learning how to make clay bricks like his father and grandfather.

• Free Market
• Traditional
• Mixed
• Command