Scarcity, Economic types and the 3 questions

Which of the Factors of production (see below) includes machine tools and/or money used to make goods and services?

• Capital Resources

• Labour Resources

• Land Resources

• Entrepreneurship

What is the ability to combine factors of production to make things people want to buy?

• Entrepreneurship

• Being really smart

• Distribution

• Social Engineering

What is human effort (mental/physical) to make things called?

• Labour

• Diligence

• Being OP

• Really Workin'

Who is a person or company that creates and supplies goods and services?

• A producer.

• A consumer.

• A distributor.

• A retailer.

What is the organized exchange of goods/services between buyers and sellers called?

• Market

• Auction

• Barter

• Trade

Scarcity in economics and business refers to?

• The cost of the option you do not choose is the opportunity cost.

• Resources are limited but wants are unlimited. Therefore, we need to make choices about how we use our resources.

• How hard it is to buy enough crumpets before St Rupert's day.

• The key challenge facing all societies: how can society satisfy people’s unlimited wants and needs with limited resources.

Opportunity cost is best explained as:

• The cost of an option that you do NOT choose when buying someting.

• The total expenses incurred in a business.

• The profit gained from an investment.

• The amount of money spent on a project.

The economic problem faced by societies is:

• How can society satisfy people’s unlimited wants and needs with limited resources?

• The cost of the option you do not choose when buying things.

• How to feed the percentage of the population that is unemployment.

• The need to keep the internet running even though we have more cat memes that ever before.

What is a GOOD?

• An action that a person does for someone else

• Something people want/need that they can touch or hold

• A type of service

• None of the above.

What is an Economic System?

• A way to organize the production and distribution of goods and services.

• A method of political governance.

• A type of financial institution.

• A social event.