Economics Vocabulary

Consumption is using goods and services. Consumer preferences and ____________ determines what is produced and consumed

• Incentives

• Price

• Factors of Production

• Resources

The term for the combination of resources to make goods or provide services is

• Consumption

• Opportunity Cost

• Production

• Scarcity

What is given up when a choice is made; the next highest valued alternative is called...

• Scarcity

• Opportunity Cost

• Resources

• Consumption

The amount of money exchanged for a good or service.

• Price

• Scarcity

• Opportunity Cost

• Supply

Selecting an item or action from a set of possible alternatives is called making a...

• Production

• Opportunity Cost

• Demand

• Choice

_______________________ is the point where supply and demand meet. Everyone who wants to sell at that price can sell. Everyone who wants to buy at that price can buy.

• Opportunity cost

• Supply

• Equilibrium price

• Production

The using of goods and services.

• Production

• Supply

• Consumption

• Demand

The factors of production that are used in the production of goods & services. Types include capital, human, natural, and entrepreneurship.

• Prices

• Resources

• Incentives

• Choices

The amount of a good or service that consumers are willing and able to buy at a certain price is called...

• Supply

• Demand

• Choice

• Incentive

The amount of a good or service that producers are willing and able to sell at a certain price is called...

• Demand

• Choice

• Supply

• Production