| A | B |
|---|
| capital resources | equipment, money, buildings |
| consumer | one who buys or uses products |
| economics | study of how economic systems use limited resources to meet needs of society |
| human resources | labour, people, employees |
| natural resources | things of the earth--water, oil, trees |
| production | creation of goods and services |
| profit | sales - expenses = |
| resources | raw materials, labuor, knowledge, equipment |
| goods | tangible things that we buy |
| service | intangible things that an expert will provide for us eg plumber |
| price | the amount we are willing to pay for a good or service |
| macroeconomics | the performance, and decision-making of an economy as a whole |
| microeconomics | the study of individuals, households and firms' behaviour in decision making and allocation of resources |
| inflation | example of macroeconomic area - the general rising of prices over time |
| employment | example of macroeconomic area - the number of people who are >15 and work more than one hour a week |
| GDP output | a way of measuring how healthy our economy is |
| capital goods | goods required to run a business such as hairdryer or sink for hairdresser |
| consumer goods | clothes, cars, furniture, electronics are examples of these |
| factors of production | land, labour and capital is collectively known as this |
| land | a factor of product that is natural such as water, trees and ocean for example |
| labour | a factor of production that involves human capital |
| scarcity | result of limited resources and unlimited wants |
| opportunity cost | the value of the next best option foregone when making choices |
| living standards | indication on how wealthy a country is |
| material | living standard associated with purchasing power - ability to buy goods and services |
| non-material | living standard associated with quality of life |
