Chapter 1 - Introduction to Business and Economics

Organized way in which a nation chooses to use its resources to create goods and services.

When demand is higher than the available resources.

When an item is given up in order to gain something else.

Customers who purchase goods and services for their own use are called ____.

An economic system where resources are privately owned by individuals rather than the govt.

The customer of a service business is often called a ____.

A ____ is anywhere buyers and sellers meet to buy and sell goods and services.

_utility is added when a business changes the form of a good or service to make it more useful.

Level of material comfort measures by the goods, services, and luxuries available.

A tractor is an example of ________.

____ is the term for all activities involved in developing and exchanging products.

Difference between the income & the expenses incurred by a business during a period of time

The value of the next best option that was not selected.

Something a person must have to survive.

Work performed by people in businesses, also called human resource.

The market price for a product is determined at a point where ____.

Something that a person desires but can live without

Anything that can be bought or sold.

Products are commonly known as _________.

Actions taken by two or more businesses attempting to attract the same customers.

Products businesses use to produce other goods.

A science that examines how goods and services are produced, sold, and used is called ____.

When demand is higher than the available resources.

Utility describes the characteristics of a product that satisfy _______.

Anything that is bought or sold is called a(n) ____.

The law of __ is determined by the supply of a product & the demand for the product.

Individual or group who buys products.

A __ economy is based on a society’s values, culture, & customs.

All the tools, equipment, and machinery used to produce goods or provide services.