SOL 11a reading comprehension questions

What do people all over the world decide?

• how to use the limited resources around them,

• the ownership of resources,

•  how to use the marketplace for the distribution of goods and services

• All of them

What is a marketplace?

• the commercial activity of buying and selling goods and services.

• a particular place like a national or world market or it can refer to a group of people that buy or sell a product or service.

• The goods and services we want or need may exceed our ability to produce them.

• Factors of production such as land, labor, and money that are used in the production of goods and services are called resources

What is scarcity?

• the inability to satisfy all wants at the same time

• Factors of production such as land, labor, and money that are used in the production of goods and services are called resources.

• A term that refers to the commercial activity of buying and selling goods and services.

•  Whenever we make a choice, we are actually making two choices

What does scarcity cause individuals and businesses to do?

•  must make difficult choices

• combining of human, natural, capital, and entrepreneurship resources to make goods or provide services.

• purchase and use goods and services

• what is given up (second best alternative) when a choice is made

What are resources?

• Factors of production such as land, labor, and money that are used in the production of goods and services

• purchasing and using of goods and services

• the inability to satisfy all wants at the same time.

• a particular place like a national or world market

What are four types of resources?

• natural, human, capital, and entrepreneurship. 

• goods and services

• consumer preferences determine what is purchased and consumed.

• electricity, magnetism, wind, rain

What is choice?

• selecting an item from a set of possible alternatives.

• consumer preferences

• things that incite or motivate

• combining resources to make goods or provide services

Why do we have to make choices?

• goods and services are limited.

• we are actually making two choices

• An opportunity choice is what is given up

• combining of human, natural, capital, and entrepreneurship resources to make goods or provide services

What happens when a person or business makes a choice?

•  we are actually making two choices.

• factors (items) used in the production of goods and services

• determines price

• the commercial activity of buying and selling goods and services.

What is an opportunity choice?

• what is given up (second best alternative) when a choice is made

• the value of what is given up. 

• things that are owned such as land, buildings, and equipment

• include natural, human, capital, and entrepreneurship.