Economics Test Prep

Resources that come from nature. These can be traced back to the earth and include animals.

• Opportunity cost

• Earth resources

• Capital resources

• Natural resources

The amount of goods or services available

• Demand

• Scarcity

• Supply

• Capital resources

The degree of desire for a good or service

• Demand

• Supply

• Opportunity Cost

• Productive Capacity

The distribution of tasks among members of a group to increase productive capacity.

• Natural resources

• Capital resources

• Division of Labor

• Productive capacity

The maximum amount of a good or service that can be produced

• Natural resources

• Productive capacity

• Division of Labor

• Scarcity

Focusing on one specific area of study or work

• Division of Labor

• Specialization

• Human resources

• Opportunity cost

Materials such as tools or equipment necessary to produce a good or service

• Capital Resources

• Human Resources

• Supply

• Productive Capacity

The talents and skills of human beings needed to produce a good or service

• Capital resources

• Demand

• Opportunity cost

• Human resources

Which best describes how the price would change if a lot of people demand the product

• Price would decrease

• Price would stay the same

• Price would increase

• Each store may have different pricing

Economics is the study of

• How money is printed

• How people find jobs

• How people make choices

• How money flows in and out of an area