Economics Review

What does the word GOODS mean?

• Objects ( Things) you can buy that are for Sale

• Coins or bills

What is consumption?

• the purchase and use of goods and services

• study of money

• the name of my monster truck

• people depend on each other

What is production?

• to do a certain job

• to create or make goods/products

• when things are limited you have to make a choice

• Beauty and the Beast

What is a service?

• it's in your wallet

• something people want or need that you can hold/touch

• when things are limited

• something you pay people to do for you

The struggle between businesses selling the same goods (ex: Best Buy v.s. Walmart).

• Supply

• Demand

• Competition

The desire or willingness a consumer has to purchase a good or a service is called?

• shortage
• supply
• price
• demand

The amount of goods or services available is called?

• supply
• demand
• producer
• consumer

When there is a shortage the price will usually? 

• rise
• fall
• remain the same
• equilibrium

Farmers in California have had wonderful weather. They have produced the largest crop of watermelons in years. What will happen to the price of watermelons?

• The price will go up.
• The price will go down.

Cold weather in Florida has damaged this year’s orange crop. Farmers have only half of the usual amount of oranges to sell. What will happen to the price of oranges?

• The price will go up.
• The price will go down.