Marketing Chapter 6.1

What is the term economics about according to the objectives of this section?

• • A science that deals with examining how goods and services are produced, sold, and used

• The process of making laws for financial governance

• The analysis of historical financial data

• The technology used in producing goods and services

Why is economics considered important?

• It helps in creating jobs for the economy

• It explains the use of scarce resources to satisfy wants

• It is the basis for all political decisions

• It is the only subject taught in schools related to money

How does scarcity affect economic choices according to the objectives?

• It has no real impact on economic choices

• It leads to an increase in the production of goods

• It affects individuals and nations making economic choices

• It encourages the unlimited production of goods

What term is used to describe the basic elements used in the production of goods and services?

• Supply and demand

• Key Terms

• Factor of production

• Productivity

Which term refers to the limited nature of society's resources?

• Economics

• Scarcity

• Capital

• Labor

What is the cost of the next best alternative use of money, time, or resources when one choice is made over another?

• Opportunity cost

• Infrastructure

• Entrepreneurship

• Natural resource

Which term describes the human effort, including both physical and mental, used in the creation of goods and services?

• Capital good

• Technology

• Labor

• Supply and demand

What is Economics?

• A science that deals with the study of laws

• A science that deals with examining how goods and services are produced, sold, and used

• A branch of mathematics that deals with numbers and quantities

• A field of study that focuses on the history of economic thought

What does the economic principle of supply and demand relate to?

• The financial strategies of a company

• The marketing techniques used in advertising

• The quantity of products available to meet consumer demand

• The legal aspects of buying and selling goods

What do people, governments, and companies make choices about in Economics?

• Choosing the best political candidate

• Using limited resources to satisfy unlimited wants

• Deciding on the cultural values of a society

• Planning for retirement and personal savings