Unit 1: Basic Economic Concepts Flashcards
(5 cards)
1
Q
Scarcity
A
- Scarcity means that there isn’t enough of a commodity to do what you want with it
2
Q
What is a PPC?
A
Production possibillities curve. It shows how much of option one we can have compared to option two
3
Q
What is opportunity cost?
A
How much you gave up by taking a choice.
What did you get by doing this option?
The slope of a PPC graph is opportunity cost.
4
Q
What is something under a PPC curve called?
A
- Inefficient
5
Q
A
