Economics: Resources and Roles

What is a natural resource?

• A type of food

• Something found in nature that people use

• A kind of animal

• A type of machine

Why are trees considered a natural resource?

• They are used to make paper and build things

• They are not useful to humans

• They are man-made

• They are only found in cities

Who is a producer in the economy?

• Someone who buys goods

• Someone who makes or grows goods

• Someone who uses services

• Someone who saves money

Which of the following is an example of a producer?

• A tractor

• A farmer

• A student

• A shopper

How do producers decide what to make?

• By guessing what people want

• By listening to music

• By understanding what consumers need and want

• By watching TV

Who is a consumer in the economy?

• Someone who makes goods

• Someone who buys and uses goods and services

• Someone who sells goods

• Someone who grows food

What is the difference between goods and services?

• Goods are things you can touch, services are activities done for you

• Goods are activities, services are things you can touch

• Goods and services are the same

• Goods are free, services cost money

Which of the following is a service?

• A book

• A haircut

• A toy

• A sandwich

How can a consumer decide which goods to buy?

• By choosing the first thing they see

• By comparing prices and quality

• By asking a friend

• By closing their eyes and picking

Place the images in the correct category.

Groups:

(a) Goods

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(b) Services

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