| A | B |
|---|
| scarcity | when wants exceed resources |
| capital resources | goods produced and used to make other goods and services |
| natural resources | gifts of nature, land, minerals |
| human resources | knowledge and skills of workers |
| entrepreneurial resources | initiative to improve |
| command economy | run by central government |
| market economy | private ownership,supply & demand centered, individuals make decisions |
| socialist economy | more government ownership |
| mixed economy | a comand & market economy |
| traditional economy | decisions based on traditions, customs |
| supply | how much of a good/service is available at different market prices |
| demand | individual's need/desire for a good/service at a given price |
| law of demand | as prices fall, demand increases and vice-versa |
| law of supply | as prices increase, supply increases and vice-versa |
| price | the amount at which a good/service will be sold in the market |
| needs | Things we have to have in order to survive |
| wants | Things we like to have |
| consumer | One who used goods or services |
| customer | One who buys goods or services |
