Fundamentals of Economics Vocabulary

Front

An _________ is something that motivates someone.

Back

incentive

Front

Which of the following is NOT one of the factors of production? capital, land, labor

Back

incentives

Front

The level of wealth, comfort, material goods, and necessities available to a certain socioeconomic class or geographic area is known as the....

Back

standard of living

Front

The idea that we have unlimited wants but limited resources is called...

Back

scarcity

Front

The value of the next-best alternative when a decision is made is the...

Back

opportunity cost

Front

A ______ ______ is an economic system where two forces, known as supply and demand, direct the production of goods and services.

Back

market economy

Front

A non-tangible action or activity that is performed for someone else is a ....

Back

service

Front

The study of choices is _______.

Back

economics

Front

The incremental benefit of decision-making is also known as ______ ______.

Back

marginal benefit

Front

A rational decision is a good decision.

Back

True