Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of...
-
Upload
wilfrid-gaines -
Category
Documents
-
view
215 -
download
1
Transcript of Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of...
![Page 1: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/1.jpg)
Thinking Like an EconomistBundle 1 Key Terms
![Page 2: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/2.jpg)
Capitalism
• Private citizens own and use factors of production to make money.
![Page 3: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/3.jpg)
Command Economy• Central authority
(government) makes most big economic decisions.
![Page 4: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/4.jpg)
Cost-Benefit Analysis• Comparing the cost
of something to the benefit you get from it.
![Page 5: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/5.jpg)
Division of Labor• Dividing work into
separate tasks to be performed by different workers.
![Page 6: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/6.jpg)
Economic Growth• An increase in a
country’s output of goods and services.
![Page 7: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/7.jpg)
Economics• The study of how
people use scarce resources to satisfy unlimited wants and needs.
![Page 8: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/8.jpg)
Factors of Production• Resources needed to
produce goods; Land, capital, labor, and entrepreneurship.
![Page 9: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/9.jpg)
Free-Enterprise System• Privately owned
businesses work to make a profit with limited government intervention.
![Page 10: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/10.jpg)
Goods• Physical product that
is useful, transferable, and satisfies wants and needs.
![Page 11: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/11.jpg)
Market Economy• An economic system
where supply, demand, and price help people make economic decisions.
![Page 12: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/12.jpg)
Needs• Basic requirements
for survival, such as food, clothing, and shelter.
![Page 13: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/13.jpg)
Opportunity Cost• Cost of the next best
alternative use of money, time, or resources.
![Page 14: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/14.jpg)
Productivity• The amount of
output in a specific time period using a given amount of resources.
![Page 15: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/15.jpg)
Scarcity• Economic problem
of meeting unlimited wants and needs with limited resources.
![Page 16: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/16.jpg)
Services• Work performed for
someone else.
![Page 17: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/17.jpg)
Socialism• Economy where
government owns some factors of production and chooses what is produced and how.
![Page 18: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/18.jpg)
Specialization• Someone performs a
specific task and gets better at doing it. Usually as part of a larger group.
![Page 19: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/19.jpg)
Trade-Offs• What is given up
when one choice is made instead of another.
![Page 20: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/20.jpg)
Traditional Economy• Economy where
scarce resources or other economic activity is the result of ritual, habit, or custom.
![Page 21: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/21.jpg)
Utility• How useful
something is.
![Page 22: Thinking Like an Economist Bundle 1 Key Terms. Capitalism Private citizens own and use factors of production to make money.](https://reader035.fdocuments.net/reader035/viewer/2022081519/56649f4f5503460f94c7136e/html5/thumbnails/22.jpg)
Value• How much
something is worth.