Wants are referred to as primary needs.

Any activity connected with money earning and money-spending is called an economic activity.

Needs : things we must have to survive, such as food, water, and shelter. This is also known as Secondary Needs.

Wants: desires for goods, services, feelings, and other things we would like to have but do not need. ( Secondary Needs)

Physical goods is also known as INTANGIBLE GOODS.

Services are activities provided by other people, who include doctors, lawn care workers, dentists, barbers, waiters, or online servers, a book, a digital video game or a digital movie

There are four main methods of production.

Job Production is used when a product is produced with the labor of one or few workers.

Batch production is the method used to produce or process only one product.

Flow production is when the product is built up through many segregated stages;

Subsistence agriculture occurs when farmers grow food crops to meet the needs of themselves and their families.

Domestic Level

At this level, goods are produced locally and not exchange or exported. Enough is produced to provide for the local market.

Enough goods are produced with the intention of exporting to other country. This is called subsistence level.

There are 5 types of Production.

Explain the chain of production.

....................... is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (output).

List the factors of Production.

All human effort that assists in production is .....................

.......................... is a person who brings other factors of production in one place. He uses them for the production process. He is the person who decides