Flashcards in Chapter 3 Deck (14):
Turns inputs into consumable outputs
Goods & Services
The way that inputs are combined to produce output
Make Work Fallacy
The idea that jobs are valuable, whether or not the labor's production adds value
Law of Increasing Opportunity Costs
As more of 1 good is produced, the opportunity costs of that good increases, in terms of the other good that is sacrificed
An expansion of an economy's productive capabilites
ones education and training
The invisible Hand
people looking out for their own self-interests inevitably helps others
Who is a middleman?
middlemen are valuable because people pay them
The Wealth of a country lies in that country's _____
Consumable goods and services
PPF is a straight line if.....
All resources were equally productive
PPF is bowed outward because.....
the Law of Increasing Opportunity Costs