Marketing:Chapter 4- What Is an Economy?

3 goals of any economy are:

all the things used in producing goods and services.

Example of factor of production: land

the physical development of a country, including its roads, ports, and etc.

Example of the factor of production: labor is

system in which the government controls the factors of production and decisions about their use

includes money needed to start and operate a business.

refers to everything on the earth that is in its natural state, or Earth's natural resources.

refers to the skills of people who are willing to risk their time and money to run a business.

the difference between wants and needs and available resources

3 factors that affect business cycles

an economic system characterized by private ownership of businesses and marketplace competition

political system that is increased government involvement in people's lives and the economy.

Example of factor of production: capital

refers to all the people who work in the economy.

there is no government involvement in economic decisions.

the technical term economists use for resources.