| A | B |
|---|
| Scarcity | The fact that resources are always limited compared to our wants and needs. |
| Economic system | The system through which people in a society make choices about how to use their resources to produce goods and services to meet the needs of society. |
| Benefit | Something you gain from a decision. |
| Cost | Something you give up from a decision. |
| Opportunity cost | The benefit of the next best alternative that you do not do. |
| Want | Something that a person desires. |
| Good | A tangible product that satisfies a person's wants. |
| Service | An action or labor that satisfies a want. |
| Production | Making goods available to satisfy human wants. |
| Natural resource | Anything in nature that is turned into a good. |
| Human resource | A person's labor. The person's time and energy used to make a good or service. |
| Capital resource | Any good that is used to make another good or service. |
| Distribution | Making goods available to the people who want them. |
| Consumption | Using up the good or service. |
| Productivity | The effeciency of producing goods and services. |
| Profit motive | The desire to make money. |
| Profit | The difference between what it costs to make something and what it is sold for. |
| Barter | The act of directly exchanging goods and services without using money. |
| Exhaustible natural resource | A resource that is gone once it is used. |
| Inexhaustible natural resource | A resource that cannot be used up. |
| Renewable natural resource | A resource that can be replaced over time. |
