Econ Unit 1 Test

What is Economics?

• Something we would like to have but is not necessary for survival.

• Basic requirement for survival.

• Social Science concerned with the production, distribution, and consumption of goods and services.

• Monetary ($) worth of a good or service. 

What is a need?

• Something we would like to have but is not necessary for survival.

• Basic requirement for survival.

• A useful/tangible item that can satisfy a want/need.

• Work that is performed for someone.

What is a want?

• Something we would like to have but is not necessary for survival.

• Basic requirement for survival.

• A useful/tangible item that can satisfy a want/need.

• Work that is performed for someone.

What is a good?

• Something we would like to have but is not necessary for survival.

• Basic requirement for survival.

• A useful/tangible item that can satisfy a want/need.

• Work that is performed for someone.

What is a service?

• Something we would like to have but is not necessary for survival.

• Basic requirement for survival.

• A useful/tangible item that can satisfy a want/need.

• Work that is performed for someone.

What is a nondurable good?

• Intended for final use by individuals.

• Tool/equipment used to make other goods.

• Lasts for less than 3 years w/ regular use.

• Lasts for 3+ years w/ regular use.

What is a durable good?

• Intended for final use by individuals.

• Tool/equipment used to make other goods.

• Lasts for less than 3 years w/ regular use.

• Lasts for 3+ years w/ regular use.

What is a capital good?

• Intended for final use by individuals.

• Tool/equipment used to make other goods.

• Lasts for less than 3 years w/ regular use.

• Lasts for 3+ years w/ regular use.

What is a consumer good?

• Intended for final use by individuals.

• Tool/equipment used to make other goods.

• Lasts for less than 3 years w/ regular use.

• Lasts for 3+ years w/ regular use.

What would be an example of a service?

• An iPod

• A Haircut

• A House

• A Tractor