Flashcards in Civics Chapter 11 Deck (15)
Factors of Production
The resources people have for producing goods and services to satisfy their wants
Anything produced in an economy that is used to produce other goods or services.
Act of buying or using goods and services
The highest valued benefit given up when a choice is made.
Resources are always limited compared to the number and variety of wants people have
Practical application of science to commerce or industry
The basic economic decisions are according to long-established patterns of behavior that are unlikely to change
The government or a central authority owns or controls the factors of production and makes the basic economic decisions
A system in which private individuals own the factors of production and are free to make their own choices about consumption, production, and distribution.
Difference between the total cost of production and the total revenues received from the buyers
To use your money to help a business get started or grow, with the hope that the business will earn a profit which you can share.
System in which individuals in a market economy are free to undertake economic activities with little or no involvement of the government
System in which people make their own decisions about how to save resources as capital and how to use their capital to produce goods and provide service