Economics Unit 1

Incentives make you work harder

When a business pays a truck driver a wage it is making a

If the economy produces 9 cars how many smoothies can it produce?

Every natural resource is scarce

Adam Smith argued that free markets are motivated by

The factor of production that involves natural resources is

When you buy eggs at the grocery store you are participating in

Laissez faire means

The shift from z to v represents

Another word for fairness

Using less of something that it is possible to use

___ is a command economy

Macroeconomics is the study of

If the economy wants to increase smoothies from 0 to 5 units, how many cars can it now produce?

Renting a store to sell a product is making

If the economy operates efficiently and produces 8 smoothies, how many cars can it produce?

Point U on the graph represents

A scarcity is a man-made, temporary shortage

Detention is an example of a positive incentive

When you compare costs to benefits you are

The most fruit smoothies this economy can produce is

The US is a ___ economy

The opportunity cost of watching Netflix in class is

Compared to market economics, command economics have ___ economic freedom