Unit 1 Vocabulary

Question 1

Need

Answer 1

A necessity

Question 2

Gross Domestic Product

Answer 2

Value of all final goods and resources in a country’s borders within 1 year.

Question 3

Want

Answer 3

A preference , desire or wish for a product.

Question 4

Service

Answer 4

Something that is done for you. Intangible

Question 5

Labor

Answer 5

The human resource

Question 6

Factors of Production

Answer 6

Land,Labor,Capital,Entrepreneurs

Question 7

Capital

Answer 7

Investment in a business

Question 8

Land

Answer 8

Any natural resource on earth(made by nature)

Question 9

Productivity

Answer 9

Measure of proficiency to resources.

Labor

Question 10

Opportunity Cost

Answer 10

Cost of next best alternative.

Example: Time, Money, or resources

Question 11

Scarcity

Answer 11

Having limited resources

Question 12

Good

Answer 12

Tangible. You buy it.

Question 13

Nondurable Good

Answer 13

Wears & Tears quickly. Last less than 3 years

Question 14

Capital Good

Answer 14

Tool, Equipment & manufactured good for good & services.

Question 15

Value

Answer 15

Worth given to a service or good.

Question 16

Utility

Answer 16

Usefulness or satisfaction of a good to the consumer.

Capacity of usefulness.

Question 17

Economics

Answer 17

Study of Social Science of people handle scarce resources.

Battling with needs and wants.

Question 18

Durable Good

Answer 18

Long Lasting good No wear & tear

Question 19

Consumer Good

Answer 19

Used for personal use

Question 20

Paradox of value

Answer 20

Contradiction between Unneeded item with high value & Vital item of low value

Question 21

Wealth

Answer 21

Abundance of valuable items. Ex- Money, Gold

Question 22

Production Possibilities Curve

Answer 22

All possible combinations of goods & services.

Question 23

Curve

Answer 23

Relations between demand and price

Question 24

Trade-Offs

Answer 24

Alternative that must be given up for another.

Question 25

Consumerism

Answer 25

Growth of Interests of the consumer

Question 26

Economic Growth

Answer 26

Increase of a nation's output overtime.

Question 27

Human Capital

Answer 27

Sum of people's skills,abilities,health and motivation.

Question 28

Division of labor

Answer 28

Division of work.

Question 29

Specialization

Answer 29

Splits jobs into what people specialize in.

Question 30

Economic Interdependence

Answer 30

Economic dependence of a person,nation,,company,region.

Question 31

Market

Answer 31

Mechanic through which buyers & sellers come together

Question 32

Factor Markets

Answer 32

Markets where productive resources are bought and sold

Question 33

Product Markets

Answer 33

Markets where goods and services are bought and sold.

Question 34

Economic Model

Answer 34

Simplified version of a complex concept on graphs

Question 35

Cost-Benefit Analysis

Answer 35

Comparison of the cost to the benefits.

Question 36

Free Enterprise Economy

Answer 36

Market economy where privately owned business have the freedom to make money. No gov't intervention.

Question 37

Standard of Living

Answer 37

Quality of life based on ownership,luxuries, and necessities for easier comfort.