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Flashcards in Economics Deck (21):
1

Land

Anything provided by provided by nature that helps to produce a product

2

What is the payment for land

Rent

3

Labour

Human effort required to produce a product/ service

4

Payment for wages

Wages

5

Capital

Anything made by humans that helps produce a good

6

Payment for capital

Interest

7

Name the factors of production

Land
Labour
Capital
Enterprise

8

What is economics

It is the study of how we make the best possible use of the worlds scarce resources.

9

What does 'wrip' stand for

Rent
Wages
Interest
Profit

10

Financial cost

Is the amount of money that is paid for it

11

Opportunity cost

Is the item that must be done without having to make a choice between 2 or more actions.

12

Inflation

Increase in the general level of the price of goods over a period of time

13

GDP

Total amount of goods and services produced in an economy in one year

14

GNP

Is the GNP less profits sent out of the country by foreign owned companies located in the country, plus the profits returned to the country by local firms based abroad.

15

Economic growth

Occurs when more goods are produced in a country one year that the previous year

16

Dirt

Deposit interest retention tax

17

Name the types of current budgets

Balanced
Surplus
Deficit

18

Balanced budget happens when..

The planned income equals the planned expenditure

19

Surplus budget happens when..

The planned income is greater then the exp.

20

Deficit budget happens when..

The planned exp. is greater than the planned income (gov. Use borrow money)

21

Debt servicing

Pays interest on a loan