| A | B |
|---|
| factors of production | natural, labor, capital, entrepreneurs |
| scarcity | insufficient resources |
| command | government-controlled economy |
| mixed economy | market & command-based economy |
| profit motive | the driving force behind a market economy |
| what how who | 3 basic economic questions |
| trade-off | the thing you give up when you choose something |
| opportunity cost | the value of the thing you give up |
| division of labor | breaking down a job into separate tasks |
| market | economy based on decisions made by private individuals |
| natural | resources found in nature |
| capital | resources that are used to produce goods and services |
| labor | human capital |
| entrepreneurs | people with ideas about what to produce, how and for whom |
| economics | the study of people's economic choices |
