Unit 1 Flashcards
1
Q
What are resources?
A
The factors used to produce goods and services.
2
Q
What is scarcity?
A
A situation where there is not enough to satisfy everyone’s wants.
3
Q
What is the Real Economic Problem?
A
The wants of people are unlimited but the resources required to produce goods and services to fulfill those wants are limited so everyone’s wants can’t be satisfied.
4
Q
What are economics goods?
A
Goods and services which require resources to be produced so are limited in supply.
5
Q
What are free goods?
A
Goods or services that do not require resources to be produced.
