Econ Unit 1 (1-14)

7.2 We incur opportunity costs whenever we make a choice.

2.3 Earning money is usually a sign that you have...

11.2 Intentional destruction

4.3 One might work for others instead of being an entrepreneur because it involves less risk and greater regularity.

11.3 Transaction costs may be lowered by reducing the cost of...

5.4 The iron age differed from the bronze age in that both rich and poor adopted iron to make tools.

14.3 Trading helps individuals to learn

2.5 Stanley Milgram’s experiment is startling because

3.4 The role of an institution is to ensure that all individuals receive a fair share.

2.1 Every business decision involves...

14.4 A medium of exchange facilitates trade by overcoming transaction costs associated with barter.

4.2 Entrepreneurship is a possibility for individuals who are willing to work hard, learn, and take risks.

2.2 Ethics asks how people can...

Resources such as land or minerals

6.3 Countries are most likely to become wealthy when they have

3.2 When two people agree to a trade...

13.5 From a Production Possibilities Curve, you can identify an optimal allocation.

11.4 Property rights evolve as new problems arise

4.1 Successful entrepreneurs typically

3.4 The role of an institution is to...

7.5 Transaction costs include

12.2 Experimentation is most likely to be beneficial when

Natural resources that the earth provides

Built environment or artificial environment, such as machines, buildings, infrastructure

Resources such as loyalty or honesty of employees

10.2 Hubs & port cities facilitate trade by

12.5 Historians believe that some countries have grown rich due to...

5.2 If property rights are secure, people...

3.5 A society’s legal structure helps to establish

13.1 If a country is producing at a point inside its PPC, then it is using its available resources efficiently.

What is the unseen cost of using tax dollars to create jobs?

4.5 Successful entrepreneurs must

5.5 A typical language is spontaneously created by individuals.

8.2 Institutions evolve over time

11.5 How are property rights like traffic lights?

1.5 Throughout history, the natural state of human life has been...

10.5 Smith observed that politics and individual's souls are

1.3 Trade is an activity that...

Wealth is finite.

5.3 An example of a zero-sum game is...

13.2 A Production Possibilities Curve slopes upward because of opportunity costs.

8.5 A new institution is likely to be beneficial when it

10.1 Adam Smith found that markets can free us from...

13.4 A country’s PPC might shift or rotate inward as a result of a war or natural disaster.

12.3 Legitimate trade depends on

3.1 A society’s economy is...

6.5 Creating a new recipe is an example of

10.4 Partnerships between business and gov't often benefit

11.1 The stock of wealth increases as a result of...

12.4 History shows that protecting formal liberty often...

1.4 A zero-sum game is one in which

7.3 Scarcity persists because

14.2 A voluntary trade

8.1 Institutions include norms, customs, and beliefs

6.4 Humans create resources by

7.1 Prices indicate

2.4 Life’s “final exam” is NOT likely to ask...

14.1 When two people barter, they exchange goods using money.

12.1 Society's most liberating achievement is the...

13.3 A technological innovation will cause the Production Possibilities Curve to expand or shift outward.

6.2 Resources are dynamic and constantly changing.

5.1 In early history, trade was helped to develop by

8.3 Institutions help individuals to establish mutual expectations.

Hiring soldiers with tax dollars stimulates the economy and create jobs, therefore it's a good idea.

14.5 Bringing a product to market is like

Human skills and capabilities

1.2 Another word for cooperation is...

4.4 An entrepreneur must learn about