Chapter 1 & 2 Unit I Test Economics

The bare necessities to survive

Sacrificing one good or service for another

Trees are an example of this factor of production

Eating slices of pizza, you get full and don't want anymore pizza this illustrates

Objects or products that satisfy a person's wants

What people would buy with unlimited income

The study of people making choices about using scarce resources is...

Point X on the Production Possibilities Frontier shows...

A flat screen tv is considered a...

An action that is performed to satisfy a want

Not able to have all the goods/services that one wants due to wants exceeding resources

No government involvement in the economy

Organized place for business to exchange goods/services for currency

United States' Economy

Individually owned businesses, government provides some regulation and welfare programs

This economist believed that the government had specific roles in society, it just should not be involved in the economy

The invisible hand theory that people are self-interested came from...

A state or government controlled economy or market

Value of the next best alternative given up for the althernative that was chosen

Economy operating at a point on the production possibilities curve