Foundations of Economics Review

Front

According to Adam Smith, SELF-INTEREST...

Back

pushed businesses to produce good quality products at low prices

Front

Which type of economy has NO government involvement? Options: free market, communism, socialism, traditional

Back

free market

Front

SCARCITY is a condition that:

Back

ALL people have to deal with

Front

Name of the economic model that shows how resources, products & money are exchanged in an economy.

Back

circular flow model

Front

What is the difference between a pure FREE MARKET and CAPITALISM?

Back

In capitalism there is limited gov't involvement, in free markets there is no gov't.

Front

If a barrel of crude oil is used to make gasoline, the opportunity cost would be...

Back

value of anything else you could have made besides gasoline

Front

Production Possibilities Graphs...

Back

show alternative ways for an economy to use its resources

Front

an efficient economy... Options: has few people not working for a living, uses its resources to make the most goods & services, ensures safety of all citizens, always creates the newest technology

Back

uses its resources to make the most goods & services

Front

timber, water, fruits & veggies would be considered...

Back

land

Front

Hammers, computers, phones, buildings, a grill, would all be examples of...

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capital