Chapter 2 - Scarcity

Question 0

scarcity is not the same as blank and is not a blank

Answer 0

poverty, shortage

Question 1

most basic concept of economics and occurs when the ingredients for producing things that people desire are insufficient to satisfy all wants

Answer 1

scarcity

Question 2

any activity that results in the conversion of resources into products that can be used in consumption

Answer 2

production

Question 3

inputs that are used to produce things that people want

Answer 3

resources/factors of production

Question 4

natural resources or the gifts of nature and is a resource

Answer 4

land

Question 5

resource that is the human resource

Answer 5

labor

Question 6

all manufactured resources

ex) machines themselves

Answer 6

physical capital

Question 7

accumulated training and education of workers resource

Answer 7

human capital

Question 8

resource of the person who organizes, manages, and assembles the other resources and is the risk taker.The person in charge of the money.

Answer 8

entrepreneurship

Question 9

all things from which individuals derive satisfaction or happiness

Answer 9

goods

Question 10

scarce goods, for which the quantity demanded exceeds the quantity supplied at zero price

Answer 10

economic goods

Question 11

tasks that are performed for someone else and can be referred to as intangible goods

Answer 11

services

Question 12

to economists, this term is not definable

Answer 12

needs

Question 13

goods and services on which we place a positive value

Answer 13

wants

Question 14

people have blank wants

Answer 14

unlimited

Question 15

highest-valued, next-best alternative that must be sacrificed to obtain something or to satisfy a want

Answer 15

opportunity cost

Question 16

an example of this is coming to class and giving up sleeping or studying or doing something else

Answer 16

opportunity cost

Question 17

giving up something to do or get something else

Answer 17

trade off

Question 18

this graph represents all possible combinations of maximum outputs that could be produced assuming a fixed amount of productive resources of a given quality

Answer 18

production possibilities curve (PPC)

Question 19

society’s pool of applied knowledge concerning how goods and services can be produced

Answer 19

technology

Question 20

any point below the production possibilities curve at which the use of resources is not generating the maximum possible output

Answer 20

ineffecient point

Question 21

as society attempts to produce more of a good, the opportunity cost of additional units of that good generally increases

Answer 21

law of increasing additional cost

Question 22

the more blank the resources, the more blank the production possibilites curve

Answer 22

specialized, bowed

Question 23

increases the production possibilities of smart phones and tablet devices and is illustrated in an outward shift of the PPC

Answer 23

economic growth

Question 24

use of goods and services for personal satisfaction

Answer 24

consumption

Question 25

the PPC illustrates the trade off between blank and blank consumption

Answer 25

present, future

Question 26

goods produced for personal satisfaction

Answer 26

consumer goods

Question 27

goods used to produce other goods

Answer 27

capital goods

Question 28

forgo consumption goods to produce blank goods then we blank in capital goods which stimulates blank

Answer 28

capital, increase, economic growth

Question 29

putting money into capital goods is like a blank because it provides room for growth

Answer 29

investment

Question 30

organization of economic activity among different individuals and regions which leads to greater productivity

Answer 30

specialization

Question 31

ability to produce a good or service at a lower opportunity cost and is always a relative concept

Answer 31

comparative advantage

Question 32

ability to produce more units of a good or service using a given quantity of labor or resource inputs

Answer 32

absolute advantage

Question 33

segregation of resources into different specific tasks

Answer 33

division of labor

Question 34

When PPC is linear and constant then it does not illustrate the

Answer 34

law of increasing additional cost

Question 35

When PPC is bowed then it blank illustrate the law of increasing additional cost

Answer 35

does

Question 36

currency always goes on blank axis in economics

Answer 36

y