Understanding Economic Concepts

Front

What is Scarcity?

Back

When resources are limited and the need for a good or service is higher for a society than what is produced

Front

What is disposable Income?

Back

Refers to one’s total income that is left following the payment of all required taxes.

Front

What is the major difference between scarcity and a shortage?

Back

Shortages are temporary and scarcity always exist.

Front

Fixed Income

Back

The cost of income that does not change from month to month. It is a part of someone’s business budget.

Front

Need:

Back

Something that a person must have to survive.

Front

What are Wants?

Back

Good and services that people desire but do not need them to survive.

Front

Competition

Back

The rivalry that may refer to rivalry among firms or individuals, or race to control resources.