| A | B |
|---|
| SCARCITY | Goods and resources are limited so people make choices |
| RESOURCES | Factors of production that are used in the production of goods and services |
| RESOURCES | Natural, human, capital, and entrepreneurship |
| CHOICE | Selecting an item or action from a set of possible alternatives |
| OPPORTUNITY COST | The alternative given up when a choice is made |
| PRICE | The amount of money exchanged for a good or service |
| INCENTIVES | Things that excite or motivate - used to change economic behavior |
| DEMAND | The amount of a good or service that consumers are wiling and able to buy at a certain price |
| SUPPLY | Amount producers are willing and able to sell at a certain price |
| PRODUCTION | Combining of human, natural, capital and entrepreneurship resources to make goods and services |
| CONSUMPTION | Using goods and services |
