Introduction To Economics

Front 1

Economics

Back 1

The study of how individuals and nations make choices about ways to use scarce resources.

Front 2

Wants

Back 2

Things we would lie to make life more comfortable.

Front 3

Needs

Back 3

Requirements for survival.

Front 4

Miroeconomics

Back 4

The economic behavior and decision-making by individuals and small businesses.

Front 5

Macroeconomics

Back 5

Economic behavior and decision by government or whole industries or whole societies.

Front 6

Scarcity

Back 6

Not having enough resources to produce all of the things we would like to have.

Front 7

Resources

Back 7

Money,people, and materials available to accomplish one's goals.

Front 8

Trade-Off

Back 8

The alternative you face if you decide to do one thing rather than another.

Front 9

Opportunity Cost

Back 9

The cost of the next best alternative use of time and money when choosing something over the other choice.

Front 10

Cost

Back 10

The money needed to pay for something.

Front 11

Price

Back 11

What you could be charged for goods and services.

Front 12

Fixed Cost

Back 12

Costs or expenses that are the same no matter how many units of a good are produced.

Front 13

Variable Cost

Back 13

Expenses that change with the number of items produced.

Front 14

Total Cost

Back 14

The sum of Fixed Costs and Variable Costs.

Front 15

Marginal Cost

Back 15

The additional cost of producing one additional unit of output.

Front 16

Goods

Back 16

Products we use to satisfy our wants and needs.

Front 17

Service

Back 17

Work performed by person for someone else.

Front 18

Land

Back 18

Natural Resources that you use to produce more resources.

Front 19

Labor

Back 19

Anyone who produces goods and services with work.

Front 20

Capital

Back 20

Manufactured goods used to make other goods and services.

Front 21

Entrepreneurship

Back 21

When an individual decides to open up her own business or introduces new products.

Front 22

Human Capital

Back 22

The sum of people's skills, abilities, and motivation. Growth in human knowledge and experience.

Front 23

Physical Capital

Back 23

Production as in machinery, buildings,or computers.

Front 24

Gross Domestic Product

Back 24

The total value in dollars of all the final goods and services produced in a country during a single year.

Front 25

Standard of Living

Back 25

The quality of life based on possession of necessities and luxuries that make life easier.

Front 26

Market

Back 26

A free and willing exchange of goods and services.

Front 27

Factor Market

Back 27

A market where productive resources are bought and sold.

Front 28

Product Market

Back 28

A market were producers offer goods and services for sale.

Front 29

Revenues

Back 29

Money from the taxes on businesses and individuals. The government uses them to purchase final goods and services in the product markets.

Front 30

Expenditure

Back 30

The action of spending funds.

Front 31

Productivity

Back 31

The efficient use of resources in a specific period of time.

Front 32

Specialization

Back 32

When people, businesses, regions, and countries concentrate on goods or services.

Front 33

Division of Labor

Back 33

Breaking down jobs into small tasks performed by different workers.

Front 34

Economic Interdependence

Back 34

When we rely on each other and they rely on us to provide goods and services.

Front 35

Capiitalism

Back 35

When private citizens use factors of production in order to seek a profit.

Front 36

Free Enterprise

Back 36

When competition is allowed to flourish with a minimum of government interference.

Front 37

Competition

Back 37

The struggle between buyers and sellers to get the best products at the lowest prices.

Front 38

Profit Motive

Back 38

The driving force which encourages individuals and organisations to improve their material well-being.

Front 39

Laissez- Faire

Back 39

"To let alone". Government shall not interfere in the marketplace, all they have to do is ensure free competition.