Economics 1.2

When you hear the word _________, you probably think of “big business.”

• economics
• business
• finance
• marketing

Economics includes _________, but it also includes much more.

• big business
• government
• trade
• labor

Economics has its own _________ and uses terms such as recession, commodity, or utility.

• vocabulary
• theory
• policy
• system

To understand economics, a _________ of key terms is necessary.

• review
• study
• textbook
• glossary

Most economic terms are _________ used, and you will already be familiar with many of them.

• widely
• rarely
• selectively
• generally

Economics is concerned with economic _________—goods and services that are useful, relatively scarce, and transferable to others.

• products
• items
• goods
• commodities

Economic products help us satisfy our _________ and needs.

• wants
• desires
• requirements
• preferences

Because they are both scarce and useful, economic products command a _________.

• price
• cost
• value
• fee

The first type of economic product is a _________—a useful, tangible item, such as a book, car, or compact disc player.

• good
• service
• commodity
• product

When manufactured goods are used to produce other goods and services, they are called _________ goods.

• capital
• consumer
• durable
• final