Chapter 1 Review - Fund BMF

Level of material comfort measured by the goods, services, and luxuries available.

• Trade-off
• Standard of Living
• Wants
• Goods

An economy in which both the government and individuals make decisions about economic resources.

• Command economy
• Mixed economy
• Traditional economy
• Market economy

Something a person must have to survive.

• Goods
• Wants
• Trade-offs
• Needs

Something that a person desires, but can live without.

• Goods
• Wants
• Trade-offs
• Needs

Action or task that is performed, usually for a fee.

• Service
• Opportunity Cost
• Standard of Living
• Need

An economy in which economic decisions are based on a society's values, culture, and customs.

• Command Economy
• Market Economy
• Mixed Economy
• Traditional Economy

An economy in which individuals are free to make their own economic decisions, also known as free enterprise or private enterprise.

• Command Economy
• Market Economy
• Mixed Economy
• Traditional Economy

The value of the next best option that was not selected.

• Goods
• Wants
• Opportunity Cost
• Needs

An economy in which the government makes all the economic decisions for its citizens.

• Command Economy
• Market Economy
• Mixed Economy
• Traditional Economy

When something is given up in order to gain something else.

• Opportunity Cost
• Trade-off
• Want
• Need