| A | B |
|---|
| Needs | Things that are required in order to live |
| Scarcity | Not having enough resources to satisfy every need |
| Natural Resources | Raw materials supplied by nature |
| Consumers | Those who buy goods and services |
| Goods | things you can see, touch, and hold |
| Wants | Things that add comfort to your life |
| Producers | those who determine which products or services will be available for sale |
| Service | Things that are intangible and have no physical characteristics |
| Command Economy | Relies on the government to make economic decisions |
| Market Economy | Consumer choices determine how industries and financial market operate |
| Mixed Economy | limited government involvement while applying the free market concepts |
| Traditional Economy | Based on culture and rituals |
| Capitalism | System in which resources are owned and controlled by the government |
| Competition | is rivalry among businesses for sales to potential customers |
| Microeconomics | is the study of the decisions made by individuals and businesses |
| Macroeconomics | is the study of the national and global economies |
| 3 Economic Questions | What - How - Who |
| Economic System | he way a society organizes itself to allocate limited resources in the production and distribution of products |
| Perfect Competition | market in which buyers and sellers are so numerous and well informed that all elements of monopoly are absent and the market price of a commodity is beyond the control of individual buyers and sellers |
| Monopolistic Competition | is a type of imperfect competition such that many producers sell products that are differentiated from one another and hence are not perfect substitutes |
| Oligopoly | a state of limited competition, in which a market is shared by a small number of producers or sellers |
| Monopoly | the exclusive possession or control of the supply or trade in a commodity or service. |
