Economics

Question 1

Economy

Answer 1

structure of how to best use resources to satisfy the nation’s wants and needs

Question 2

opportunity cost

Answer 2

the next best alternative given up to make a choice/decision

Question 3

profit

Answer 3

revenue-expenses

Question 4

globalisation

Answer 4

the increase of interconnectedness of countries around the world

Question 5

natural resources

Answer 5

resources that come from nature

Question 6

capital resources

Answer 6

resources that have been manufactured or produced

Question 7

labour resources

Answer 7

the intellectual and physical skills from human efforts

Question 8

scarcity

Answer 8

occurs when there is unlimited wants and needs but only limited resources

Question 9

Basic economic questions

Answer 9

what to produce, how to produce and for whom to produce

Question 10

What to produce

Answer 10

what should be produced with the limited resources in the world

Question 11

how to produce

Answer 11

how to create the most efficient way to produce the desired outcome

Question 12

for whom to produce

Answer 12

how will society decide to distribute the resources, who gets prority

Question 13

Subsistence economy

Answer 13

people produce enough for their own needs through hunting, gathering and farming

Question 14

Capitalist/market economy

Answer 14

private individuals or businesses own land and control the market (USA)

Question 15

Mixed economy

Answer 15

resources owned by the government and private individuals (australia)

Question 16

communist economy

Answer 16

government controls everything (north korea)

Question 17

consumers

Answer 17

buys goods and services

Question 18

producers

Answer 18

sells goods and services to consumers

Question 19

government

Answer 19

collect taxes and spends on public spending

Question 20

financial institution

Answer 20

keeps savings and gives out loans and investments

Question 21

overseas sector

Answer 21

collects and exports and produces imports

Question 22

income

Answer 22

money consumers receive for their work

Question 23

expenditure

Answer 23

purchased goods and services

Question 24

savings

Answer 24

money consumers save instead of using on goods and services

Question 25

investments

Answer 25

money spent by producers on capital goods

Question 26

taxes

Answer 26

money Australians pay to the government

Question 27

government spending

Answer 27

money spent to provide to the community

Question 28

imports

Answer 28

resources sent from produced overseas that Australians purchase

Question 29

exports

Answer 29

money made by goods and services that Australia sells to overseas sector

Question 30

leakages

Answer 30

money that flows out of the economy

Question 31

injections

Answer 31

money that flows into the economy

Question 32

circular flow of income model

Answer 32

visual representation to show how money, resources, and goods are moved through the different sectors of the economy

Question 33

ways australia is linked to the global economy

Answer 33

1. trades - exports and imports 2. migration 3. Tourism - educational tourism and normal tourism 4. jobs - aussies work overseas, people from overseas work here

Question 34

why is trade so important to australia reason 1

Answer 34

- australia earns more money by exporting goods and services

Question 35

why is trade so important to australia reason 2

Answer 35

international trades provides employment for everyone

Question 36

why is trade so important reason 3

Answer 36

australia can buy products that the country does not produce

Question 37

why is trade so important in australia reason 4

Answer 37

australia can sell products to other countries that need it