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M5 Chapter 1-2 Key Terms

Total questions: 27

Worksheet time: 27mins

Name
Class
Date
1.

Page 2. (a)   : desire for goods and services.

2.

Page 3. (a)   : factors used to produce goods and services.

3.

Page 3. (a)   : unlimited wants exceeding finite resources.

4.

Page 3. (a)   : a situation where there is not enough to satisfy everyone's wants.

5.

Page 4. (a)   : a product which requires resources to produce it and therefore has an opportunity cost.

6.

Page 4. (a)   : a product which does not require any resources to make it and so does not have an opportunity cost.

7.

Page 8: (a)   : human-made goods used in production.

8.

Page 8. (a)   : goods and services purchased by households for their own satisfaction.

9.

Page 7. (a)   :the economic resources of land, labour, capital and enterprise.

10.

Page 7. (a)   : gifts of nature available for production.

11.

Page 8. (a)   : human effort used in producing goods and services.

12.

Page 8. (a)   : risk bearing and key decision making in business.

13.

Page 9. (a)   : capable of changing use.

14.

Page 9. (a)   : incapable of moving from one location to another location.

15.

Page 9. (a)   : the ability of labour to change where it works or in which occupation.

16.

Page 9. (a)   : the ability to change where capital is used or in which occupation.

17.

Page 10. (a)   : the ability to change where enterprise is used or in which occupation.

18.

Page 10. (a)   : a person who bears the risks and makes the key decisions in a business.

19.

Page 11. (a)   : people in work and those actively seeking work.

20.

Page 11. (a)   : the output per factor of production in an hour.

21.

Page 11. (a)   : output per worker an hour.

22.

Page 11. (a)   : goods and services produced by the factors of production.

23.

Page 12. (a)   : spending on capital goods.

24.

Page 12. (a)   : total spending on capital goods.

25.

Page 12. (a)   :the value of capital goods that have worn out or become obsolete.

26.

Page 12. (a)   : gross investment minus depreciation.

27.

Page 12. (a)   : a reduction in the number of capital goods caused by some obsolete and worn out capital goods not being replaced.