| A | B |
|---|
| needs | desire felt by consumers for basic necessities of life, food, clothing and shelter. |
| limited resources | Resources (used to produce goods and services) which are in short supply, relative to unlimited wants. Same as scarce resources. |
| capital | goods used to make other goods |
| nonrenewable resource | Those natural resources, such as oil, coal or iron, which do not replenish themselves; once used they are gone forever. |
| services | Productive acts of labor(intangibles) whcih do not resurlt in a tangible product, but which statisy consumer wants or needs. Example teaching, cleaning teeth, cutting hair. |
| land | A factor of production includes real estate (earth) and all natural resources such as mineral deposits, water and timber. |
| resources | All natural, human and human-made aids used to produce a good or services. |
| production | process of combining rsources (land, labor and capital) to make goods and services. |
| goods | tangible objects (food, automobiles, shoes) capable of satisfying human wants. |
| wants | desire felt by consumers for goods and services. Wants are limited;that is, they include basic needs (for food, clothing and shelter) and desires that are above and beyond basic needs. Example: I am hungry. A carrot would meet my need; steak might satisfy my wants. |
| labor | the work people do with their hands or with their minds |
| producer | A person or firm who makes (or supplies) a good or service. |
| economics | the study of how people make choices about the best use of scarce economic resource. |
| scarcity | short supply (particulary of resources) releative to human wants, which are unlimited or the basic economic condition arising because resources are limited and human wants are not. |
| renewable resources | Natural resources which are not used up in consumption (solar energy, wind or wave power) or which reproduce themselves, wholly or in part (timber or wood). |
| advertising | a way of trying to persuade people to want certain goods or services |
| competition | Efforts of two or more businesses to win the same customers. |
| convenience | The quality of being easy, useful or increasing comfort. |
| criteria | A standard used in making decisions about something. |
| demand | The level of desire or need that exists for particular goods or services. |
