Economics Essential Vocabulary 1

The study of the decisions that are made when resources are limited

• Supply and Demand

• Economics

• Civics

• Scarcity

Something that a human must have to survive.

• Want

• Choice

• Scarcity

• Need

Anything else that a person can buy but does not need.

• Want

• Choice

• Scarcity

• Need

Selecting an item or action from a set of possible alternatives because of scarcity

• Want

• Choice

• Scarcity

• Need

the inability to satisfy all wants at the same time

• Need

• Want

• Choice

• Scarcity

The amount of money exchanged for a good or service – determined by supply and demand and determines who buys the goods (consumption).

• Price

• Discount

• Purchase

• Money

Factors of production used in producing goods and services.

• Goods

• Services

• Resources

• Wants

The amount of a good or service that PRODUCERS are willing and able to SELL at a certain price

• Supply

• Demand

• Price

• Decision

The amount of a good or service that CONSUMERS are willing and able to BUY at a certain price.

• Supply

• Demand

• Price

• Decision

What is given up when a choice is made – the highest valued alternative.

• Choice

• Opportunity Cost

• Decision

• Loss