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A3-1, Basic Economics Principles

AB
Things used in production that are man-made.capital
Whre supply and demand curves intersect.equilbrium
An item used to produce a product or service.resource
Additional cost of each unit of output.marginal cost
When one price is lowered, more of the product is purchased.law of demand
One enterprise provides inputs for another.complementary
Everything in nature used in production.land
One enterprise provides inputs for another.complementary
When price is lowered, less of the product is supplied.law of supply
Two enterprises are independent, but one provides income to the other.supplementary
Where to supply and demand curves intersect.equilibrium
The additional cost of each input.marginal cost
The additional return resulting from each unit of input.marginal return
An enterprise that competes with another.competitive en


Agricultural Education Instructor and FFA Advisor
Audubon Community Schools
Audubon, IA

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