| A | B |
|---|
| credit | a card that allows you to buy now and pay later |
| inflation | a general increase in the level of prices |
| factors of production | collective name given to land, labour and capital |
| good | a tangible item we can see and touch |
| service | a term used when you pay for someone’s EXPERTISE to carry out a specific task |
| capital | collective name of machinery or items required in the running of the business |
| land | Great Barrier Reef is an example of this factor of production |
| labour | employees is an example of this type of factor of production |
| cookers and fridges | an example of a capital goods if you ran a restaurant |
| chef or waitor | an example of labour if you ran a restaurant |
| rent | term that describes money you can gain from land that you own |
| profit | reward you should get from running a business eg restaurant |
| primary | this sector deals with the extraction of raw materials |
| secondary | this sector deals with manufacturing |
| tertiary | the name given to the sector that deals with services |
| need | things that we need for survival |
| want | items tha we desire but not required for survival |
| examples of needs | clothes, water, food |
| examples of want | iphone, airpods and fancy trainers |
| scarcity | a term that describes a limited supply of something |
| decisions | scarcity forces us to make these |
| opportunity cost | a term that describes the value of the next best thing forfeited when making decisions |
