Unit 1 Economics

__________study of how people (including companies/countries) make choices on buying, selling, using, and distributing goods/services.

• Economics
• Consumer Science
• Opportunity Costs

Government is the study of getting rich and the stock market.

• True
• False

__________ Things required to live such as food, shelter, clothing, air

• Need
• Want
• Tradeoff

The two branches of economics are micro & macro. 

• True
• False

______________ not having enough resources to satisfy all of the needs/wants

• Scarcity

• Opportunity Cost

• Tradeoff

What is the difference between a shortage and scarcity?

• A shortage is temporary but scarcity always exists

• A shortage results from rising prices; scarcity results from falling prices

• A shortage is lack of all goods and services; scarcity concerns a single item

• There is no real difference between a shortage and scarcity

Individuals who come up with a new idea for a good or service, then they make it a reality

• resource

• human resources

• consumer

• entrepreneur

The study of economics is primarily concerned with:

• demonstrating that capitalistic economies are superior to socialistic economies.

• determining the most equitable distribution of society's output.

• keeping private businesses from losing money.

• choices/decisions that are made due to lack of resources

Please complete the following sentence: ____ are people whose efforts and skills go into the production of goods and services.

• Labor

• Markets

• Economics

• Resources

• Production Potential Counts

• Productive Potential Curve

• Producing Potency Frontier

• Production Possibilities Curve