Economic Concepts Quiz

The physical assets used to produce goods and services, including machinery, equipment, buildings, and tools.

• Capital Goods

• Trade-off

One who actually uses the product or service (also called the final user, or final customer)

• Consumer

• Total Consumption

The use of goods and services by people or by the economy in general.

• Scarcity

• Consumption

The decrease in the general level of prices in an economy.

• Resources

• Deflation

To categorize, sort, and transport goods to all their final destinations as efficiently, inexpensively, and carefully as possible.

• Distribution

• Production

A good or service that has a benefit (or utility) to society, has value and therefore can be traded and exchanged using money, and has some degree of scarcity.

• Opportunity Cost

• Economic Good

Something’s usefulness and the degree to which wants are satisfied.

• Economic Utility

• Noneconomic Want

The desire for goods, services or intangible items that can only be acquired by spending money – items like a car, a haircut, or a patent.

• Natural Resources

• Economic Want

Economics is the study of how individuals and societies make decisions about resources, production, distribution, exchange, and consumption of goods and services, given unlimited and competing wants, and given the scarcity of resources.

• Economics

• Microeconomics

Reducing the amount of money spent in order to save money.

• Economizing

• Macroeconomics