Ch. 16 Basics of Economics

The horizontal axis of a demand curve displays

The additional income received from increasing one unit of sale is called

The study of how individuals and nations make decisions with limited resources is called

Type of economic system that answers the 3 basic ?'s through interaction of supply and demand

Which item represents a need

Businesses utilize this when making decisions among various projects

This occurs when the quantity supplied is greater than the quantity demanded

Which product has the most inelastic (does NOT move much) demand?

This occurs when the quantity demanded is greater than the quantity supplied

Two factors that could increase the supply of a product in the market would be

According to the rule of marginal analysis, one should continue producing a good or service

Type of economic systems that answers the 3 basic ?'s through government planning is a

A demand curve shifts to the left when

The force of supply and demand work together in markets to

Which factor has the MOST significant influence on the quantity supplied of any product

The amount that consumers are willing and able to purchase is called

An action performed by someone else. example having your taxes prepared for you

The vertical axis of a supply curve for a product displays

The scarcity of any of these leads to the necessity of economic decision making

Which of the following are factors of production?

Which of the following are examples of resources?

The amount that producers are willing and able to produce is called

Market clearing occurs at this point, Smith called this natural price

An example of a want would be

Type of economic system that answers the 3 basic ?'s through habit and custom is a

Which of the following would be an example of WHAT to produce?

The mixed economic system in the U.S. is MOST influenced by

Choosing to buy one type of product instead of another (your next best alternative) is called

Which of the following would be a characteristic of a market economy?

A tangible, physical object that can be bought, sold, traded or exchanged is called a

Choosing to buy a product over ALL other products is an example of a

Which of the following items are complements?