Economic Systems Introduction

What is scarcity? 

• Giving something up to have something else
• Extra cost of production
• The condition that results form having unlimited wants with limited resources
• Rise in general level of prices and workers need more money

What is choice?

• The act of picking or deciding 
• The best option possible
• When something is very good
• When someone has no say in a matter

Which of the following is NOT a natural resource?

• Oil
• Water
• Car
• Air

Which of the following IS a capital resource?

• Wood
• Computer
• Labor
• Knowledge

When all aspects of the economy are determine by a central figure

• Command
• Market
• Mixed
• Traditional

Decisions in the economy are based on buyer/seller choices

• Command
• Market
• Mixed
• Traditional

Combines public and private businesses 

• Command
• Market
• Mixed
• Traditional

A person who buys goods and services

• consumer
• entrepreneur
• resource
• currency

The place where goods and services are exchanged

• barter
• currency
• market
• resource

Something we use

• resource
• scarcity
• demand
• supply