Econ CH1L1

Why do all societies have to make decisions about how resources will be used?

• People are greedy

• There are not enough resources for those who want them

• Resources are too expensive for most people

• Because there is a huge gap between the rich and poor

Which is NOT a question all societies have to answer due to scarce resources?

• When will products be produced?

• How will products be produced?

• What products will be produced?

• Who will gets access to the resources and the products they produce?

Which is NOT a scarce resource?

• Labor

• Trees

• Time

• Candy

Scarcity is defined as a limited supply of resources and...

• limited wants for those resources

• unlimited resources

• limited resources

• unlimited wants for available resources

Why do we have to make production choices about available resources?

• Too many resources for the demand

• Limited wants

• Unlimited resources

• Scarcity

What is an economic want?

• Things people need in order to survive.

• Things people would like to have, but aren't necessary for survival

• Things people don't want anymore.

Economics is the study of how people seek to satisfy their needs and wants by making choices.

• True
• False

What is an Economic need?

• Something that people desire and is necessary for survival

• All the stuff I want

• Something that I would like to have to make my life easier

• I-Phones, cars, and diamond rings

Which statement is true

• Scarcity doesn't exist for everyone
• Nothing in life is free
• Rarely do we use economic thinking
• Sometimes there is no downside to a decision

Scarcity affects what a consumer buys and what a producer makes.

• True

• False