| A | B |
|---|
| Economics | the study of the way money, goods, and services are made and used in society |
| goods | a product or thing that is real and used by consumers. They are things that can be made or grown. (food, clothes, furniture) |
| services | Work which does not result in a product. In the U.S., more people produce services than goods.(teachers, doctors, firemen) |
| Natural Resources | The items used in producing a good or service. Resources are limited, so we must make good choices regarding their use. (land, trees, water, minerals) |
| Price | the amount paid for a good, service, or resources |
| Human Resources | People working to produce goods and services |
| Capital Resources | Goods made by people and used to produce other goods and services(machines, tools, buildings) |
| Producers | people who use resources to make goods and/or services |
| Profit | the amount of money left after all the costs of running a business have been subtracted from all the money earned |
| scarcity | a lack of supplies occuring because wants are greater than resources can provide |
| Economic Choice | The economic decision or choice that we make when choosing from all the possible choices or alternatives |
| Opportunity cost | the next best choice that is given up when a decision is made |
| Economic specialization | Individuals or groups of people that concentrate on one product or service.( Ancient Romans specialized in building roads.) |
| Interdependence | depending on others for providing goods and services that are needed( Jamestoawn settlers traded better-tasting tobacco with Europe for cloth.) |
