| A | B |
|---|
| 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 |
| rent | term that describes money you can gain from land that you own |
| profit | reward you should get from running a business eg restaurant |
| 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 |
| 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 |
| entrepreneur | name of person who has idea, raises the capital and takes on the risk of a business venture |
| determination, risk taking, motivation, good communicator | characteristics of an entrepreneur |
| stakeholder | someone who has a vested interest in a business |
| demand | the total volume of products or services consumers are willing to buy |
| price | a demand curve has quantity on the x axis and ? on the y axis |
| decreases | the law of demand states that as price increases the level of demand |
