basic economic questions

economics

• the study of how individuals and groups of individuals strive to satisfy their needs and wants by making choices

• an economic system in which economic decisions are made in the marketplace

• the methods societies use to distribute resources

• deciding to use a resource for one purpose means giving up the opportunity to use it for something else

economic systems

• the methods society use to distribute resources

• an economic system in which economic decisions are made in the marketplace

• deciding to use a resource for one purpose means giving up the opportunity to use it for something else

• being informed and making careful decisions

market economies

• the study of how individuals and groups of individuals strive to satisy their needs and wants by making choices

• deciding to use a resource for one purpose means giving up the opportunity to us it for something else

• the method societies use to distribute resources

• an economic system in which economic decisions are made in the marketplace

opportunity cost

• the methods societies use to distribute resources

• an economic system in which economic decisions are made in the marketplace

• deciding to use a resource for one purpose means giving up the opportunity to us it for something else

• the study of how individuals and groups of individuals strive to satisfy their needs and wants by making choices

People with labor skills in a market economy...

• earn higher incomes

• earn lower incomes

• lack employment

• make less money

What is a disadvantage of market economies?

• uneven distribution of income

• businesses are privately owned

• citizens own their own home and businesses

• people choose their jobs

What is an advantage of market economies?

• government prevents unfair trade practices

• uneven distribution of resources

• low supply of goods

• low demand for products

The marketplace is where...

• an economic system in which a central authority makes decisions

• buyers and sellers meet to exchange goods

• people discuss economic policies

• an economy that contains both private and public enterprises

Which is a basic economic question?

• What do we have to eat?

• What should be produced?

• How do you spell entrepreneurial?

• Why is the sky blue?

Which is NOT a basic economic question?

• Why do people put pineapple of pizza?

• What should be produced?

• How should it be produced?

• Who should share in what is produced?