Economics Chapter 1-3

The Wealth of Nations was written by

value associated with any good is directly related to its scarcity and -----

the study of specific components within a major economy

mechanism through which people exchange goods

What is the amount of hammers that consumers are buying?

French economists of 1700's who believed the market should be guided by "the rule of nature"

According to economists, the factors of production are scarce, even in prosperous countries.

_____ refers to material items of services that are valuable to people.

economy of a society in which child is expected to become whatever his parents were

A Communist-controlled country would most likely have a _____ economy.

The nations of Europe followed the economic policies of mercantilism during the _____ century.

the study of national economies

Lumber is an example of a(n) _____ good.

study of choices made about production, distribution, consumption of goods

governed by an "invisible hand"

directed by customs and habits

an intangible good for which people expect to pay

people who use goods

Laissez faire, a French phrase often used in connection with economics, means -----.

provides barely enough to keep a society alive

the establishment of colonies to benefit a mother country

Who abandoned the "common course and condition" economic system?

 A forklift used to transport imported goods within a warehouse would be a(n) _____ good.

directed by government

What do some people believe should be listed along with traditional factors of production?

What happens to an economy's prosperity when more goods are produced from existing resources?

Natural resources, labor, capital, and entrepreneurship are the factors of -----

economic system which advocates the gathering of gold

the separating of complex jobs into individualized tasks

Private households and businesses make the majority of decisions in a free market economy

The success of the free market economy is due in part to _____.

Capitalism of the former USSR was __ capitalism because the government controlled most capital.

The _____ of a good refers to the quantity of a good for sale at a certain price/condition.

founder of Austrian School of Economics

Who used his resources wisely to make gunpowder for President Jefferson?

An economic _____ seeks to show the relationships among the various components of an economy.