Bodamer Economics Ch 1 Vocabulary

This is the study of how people seek to satisfy their needs and wants by making choices.

• Economics

• Needs

• Wants

• Capital

Actions or activities that one person performs for another.

• Services

• Economics

• Labor

• Trade-off

Physical objects such as shoes and shirts.

• Goods

• Capital

• Physical Capital

• Services

Natural resources that are used to make goods and services.

• Land

• Capital

• Factors of Production

• Physical Capital

All human made goods that are used to produce other goods and services.

• Physical Capital

• Factors of Production

• Goods

• Services

A situation in which goods or service are not available.

• Shortage

• Scarcity

• Economics

• Physical Capital

Limited quantities of resources to meet unlimited wants.

• Scarcity

• Shortage

• Trade-offs

• Opportunity Cost

Any human made resources that is used to create other foods and services.

• Capital

• Human Capital

• Physical Capital

• Factors of Production

Land, labor, and capital are examples of what?

• Factors of Production

• Capital

• Services

• Goods

The effort that people devote to a task for which they are paid.

• Labor

• Physical Capital

• Economics

• Trade-off