| A | B |
|---|
| Scarcity | not enough of a certain resource to satisfy people's needs and wants |
| Economics | The study of how people, businesses, and governments choose to use their limited resources |
| Goods | Things that can be seen, touched, and bought or sold |
| Service | An activity performed for others for money, such as teaching or selling |
| Factors of production | The four things needed to produce goods and services: natural resources, lbor, capital, and entrepreneurs |
| Natural Resouce | Something provided by nature such as wood, oil and coal, that can be used to produce goods and services |
| Labor | Workers |
| Capital | Human-made items, such as machines and tools, that are used to produce goods and services |
| Entrepreneur | A person who comes up with the ideas for producing goods and services |
| Opportunity Cost | Whatever is given up when a choice must be made; a trade off |
| Specialization | The use of resources to produce only a single or a few kinds of goods and services |
| Productivity | The amount of goods and services produced by a worker or business in a given time period |
| Technology | The use of science to create new or better goods and services or more efficient methods of production |
| Ecomomic System | The way that a country or c ulture produces and distributes goods and services |
| Traditional System | An economic system based on past ways of life and culture |
| Market System | An economic system in which individuals, not hte government, control the production and distribution of goods and services; also called capitalism |
| Consumer | A person who buys goods and services |
| Profit | The money made by a business or person after all cost have been paid |
| Command System | An economic system in which the government controls the production and distribution of goods and services |
| Mixed System | An economic system that includes both privtae ownership of property and government control of some services and industries |
