Economic Basics

The capacity to be useful and provide satisfaction?

• want

• need

• service

• utility

True or False:

In order to produce the goods and services we want, only only land, labor, and capital are required.

• False

• True

A tool such as machinery or equipment that is used by businesses to produce other products?

• capital good

• durable good

• consumer good

• non-durable good

The factors of production are?

• land, labor, utilities, services

• capital, entrepreneurs, labor, land

• capital, labor, needs, wants

• labor, entrepreneurs, services, needs

What is the study of how people try to satisfy seemingly unlimited and competing needs and wants through the careful use of relatively scarce resources?

• capital goods

• durable goods

• productivity

• economics

Work that is performed for someone?

• utility

• service

• resource

• durable good

Risk takers in search of profits who do something new with existing resources?

• proprietors

• outsiders

• trend setters

• entrepreneurs

What is the condition that results from society not having enough resources to produce all the things people would like to have?

• value

• need

• scarcity

• economics

The value of the next best alternative given up?

• opportunity cost

• consumer cost

• production cost

• runnerup cost

True or False:

The five (5) basic elements of a budget include: financed payments, planned expenses, income, financed payments, and fixed expenses.

• True

• False