Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
5 Cards in this Set
- Front
- Back
|
What does resource allocation refer to?
|
Resource allocation refers to how much factors of production are used in the production of a particular good/service.
|
|
|
What is an economic system?
|
An economic system refers to how a country can decide what to produce, how a country can produce goods and services and for whom they produce it.
|
|
|
What is a free market system?
|
The free market system is when both producers and consumers determine what and for whom they produce goods
|
|
|
What is the main aim of entrepreneurs?
|
Profit
|
|
|
Define the price mechanism.
|
The price mechanism is the method used by entrepreneurs to decide what to produce. (Using logic: the higher the price, the more we produce)
|
