Exploring Economics Vocabulary Quiz #2

Trading of objects or ideas

• Exchange

• Circular Flow

• Substitute Goods

• Income

The amount paid for a good or service

• Income

• Price

• Substitute Goods

• Exchange

the money people earn by working

• Price

• Exchange

• Income

• Circular Flow

the pattern in which goods, services, and resources flow in the marketplace

• Circular Flow

• Income

• Price

• Exchange

a good used in place of another

• Price

• Exchange

• Circular Flow

• Substitute Goods

how many goods and services are produced

• Specialization

• Division of Labor

• Productivity

• Export

a product sent to another country to be sold

• Division of Labor

• Export

• Incentive

• Import

rewards or penalties used to cause people to act a certain way

• Export

• Division of Labor

• Specialization

• Incentive

when people make the goods they are best able to produce with the resources available to them

• Incentive

• Specialization

• Division of Labor

• Productivity

assigning different steps in building a good to different people

• Incentive

• Specialization

• Division of Labor

• Export