A | B |
economics | the study of how things are made, bought, sold, used |
scarcity | the inability to satisfy all wants at the same time |
resources | factors of production used in making goods & services |
choice | selecting an item or action from alternatives |
opportunity cost | what is given up when a choice is made |
price | amount of money exchanged for a good or service |
incentives | things that incite or motivate |
supply & demand | interaction of these two determines price |
production | combining of resources to make goods or provide services |
consumption | using goods and services |
entrepreneur | person who takes a risk |
land | place for a business |
labor | people to make the product |
capital | money, machines, buildings |