| A | B |
|---|
| SCARCITY | The inability to satisfy all wants and needs at the same time |
| RESOURCES | Natural, human, capital, entrepreneurship |
| OPPORTUNITY COST | What is given up when a choice is made |
| PRICE | Determined by the interaction of supply and demand |
| DEMAND | What consumers are willing to buy at a certain price |
| SUPPLY | What producers are willing to sell at a certain price |
| CONSUMPTION | Using goods and services |
| FREE MARKET ECONOMY | Economic system with private ownership, profit, competition |
| COMMAND ECONOMY | Centrally planned economy, little consumer choice |
| MIXED ECONOMY | Most common economic system |
| CONSUMER SOVEREIGNTY | Consumers determine through purchases what goods will be produced |
| COMPETITION | Rivalry between producers or sellers of a good or service |
| TRADITIONAL ECONOMY | Economic decisions are based on custom and historical precedent |
| PROFIT | Earnings after all expenses have been paid |
