| A | B |
|---|
| economics | the study of individuals and nations make choices about ways to use scarce resources to fullfil their needs and wants |
| needs | requirements for survivor, such as food, clothing, and shelter |
| wants | things that we would like to have, such as entertainment, vacations, and items that make life comfortable and enjoyable |
| scarcity | not having enough resources to produce all the things we would like to have |
| goods | tangible products that we use to satisfy our wants and needs |
| resources | the money, people, and materials available to accomplish a community's goals |
| trade-off | the alternative you face if you decided to do one thing rather than another |
| opportunity costs | the cost of the next best alternative use of time and money when choosing to do one thing rather than another |
| marginal costs | the additional or extra opportunity cost associated with an action |
| marginal benefit | the additional or extra benefit associated with an action |
| supply | the amount of goods and services that the producers are able and willing to sell at various prices during a specified time period |
| choice | selecting an item or action froma a set of possible alternatives |
| demand | the desire, willingness, and ability to buy a good or service |
| incentives | reward offfered to try to persuade people to take certain economic actions |
| services | work performed for a person by someone else |
