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AP Macro Terms 1.1-2

Total questions: 22

Worksheet time: 16mins

Name
Class
Date
1.

Things that are desirable but not necessary for

existence.

(a)  

2.

Absolute necessities of life, are few: air, water, food,

clothing, and shelter.

(a)  

3.

The problem of having limited resources

and unlimited wants is called?

(a)  

4.

The study of how people and societies use limited resources to satisfy their unlimited wants.

(a)  

5.

The professionals who study the ways society

allocates its resources to satisfy its wants are called ?

(a)  

6.

The study of the effects of economic forces on individual

parts of the economy, such as businesses, workers, or households.

a)

macroeconomics

b)

microeconomics

7.

The study of the impact of changes to the economy as a whole rather than on an individual level.

a)

microeconomics

b)

macroeconomics

8.

These are tangible items of value, things that one can

see or touch, such as cars, medicines, and textbooks.

(a)  

9.

These are intangible things that have value. Intangibles can neither be seen nor touched. Haircuts, medical care, and education are examples.

(a)  

10.

People who buy goods and services for personal use are

called ?

(a)  

11.

The act of buying goods and services is called ?

(a)  

12.

The things that go into the making of goods and services. They are natural resources, human resources, and capital resources, sometimes referred to as land, labor, capital, and entrepreneurship.


Check all that apply!

a)

economics resources

b)

factors of production

c)

consumption

d)

scarcity

13.

These are the raw materials that exist on the earth and in the air that humans can use to make goods.

a)

natural resources

b)

human resources

c)

capital resources

d)

goods & services

14.

The people and institutions that make and offer

goods and services, combine these factors to create their products as efficiently as they can are called ?

(a)  

15.

These are the people whose efforts and skills go into the

production of goods and services - labor and workforce.

a)

natural resources

b)

human resources

c)

capital resources

d)

goods & services

16.

These are the machines, tools, and buildings used in the

production of goods and services.

a)

human resources

b)

natural resources

c)

capital rescources

d)

goods & services

17.

what is the term used to measure the decline in the value of capital goods?

(a)  

18.

The process/act of bringing together the three factors of

production to produce good and/or services is?

(a)  

19.

An individual who organizes a business and invests time and money in hopes of earning a profit is called?

(a)  

20.

When one thing is given up in order to obtain something else, this is called a ?

(a)  

21.

What is the trade-off of the value of one good or service for

the value of another?

(a)  

22.

This graph illustrates the trade-offs and opportunity costs

associated with the production of two goods or services.

(a)