| A | B |
|---|
| Trade-off | alternative choices present in the market |
| Opportunity Cost | the cost of the next best alternative use of a factor of production |
| Production Possibilities Frontier | diagram representing combinations of various goods and services an economy can produce |
| Cost-Benefit Analysis | way of thinking of a problem to compare good and bad and make a decision |
| Free Enterprise System | system where consumers and businesses decide what is produced |
| Standard of Living | quality of life depending on possessing wants and needs |
| Fully Employed Resources | when all factors of production are running as efficiently as possible |
| Cost of Idle Resources | the value lost by not efficiently using your means of production |
| Economic Growth | expansion of the means of production allows for market expansion |
| Model | a tool used to visualize and analyze decisions. |
