Economic Terms. There are some basic economic terms that we need to be aware of before we can learn about the economy. Wants. Things we desire to have. Goods. Physical products. Services. Products you can’t touch. Scarcity. The result of an inability to satisfy all of everyone’s wants
Things we desire to have
Products you can’t touch
The result of an inability to satisfy all of everyone’s wants
EVERYTHING IS SCARCE
The best alternative given up when making a decision
A means for deciding who gets what portion of the available goods and services
Studies the choices of people trying to satisfy their wants in a world of scarcity
Giving one thing for another (e.g. $ for food)
Whenever and wherever people voluntarily make exchanges with one another
Economic Concepts of before we can learn about the economy.
These concepts are the basis for our study of the economy of before we can learn about the economy.
Giving up some of one thing in order to get more of another
Economic actions taken anywhere in the world may affect an individual’s standard of living
Studies the individual or a single business in the economy
Studies the economy as a whole