Econ Chapter 1 section 2

Goods and services that are useful, relatively scarce, and transferable to others is known as

• free goods
• luxury goods
• economic goods
• public goods

Intended for final use by an individual

• Consumer good
• Raw material
• Durable good
• Luxury item

Manufactured goods that are used to produce other goods and services.

• Capital goods
• Intermediate goods
• Raw materials
• Consumer goods

Goods that lasts for more than three years

• Perishable goods
• Non-durable goods
• Durable goods
• Consumable items

A non-durable good is something that lasts less than _____ years.

• 2

• 3

• 5

• 7

Work that is performed for someone

• Service
• Assignment
• Project
• Task

Define Market.

• A place where goods are produced

• A place where goods and services are exchanged

• A place where only services are exchanged

• A place where only goods are exchanged

What is the Paradox of Value?

• The Paradox of Value refers to the situation where essential goods have a low market value while non-essential goods have a high market value.
• The Paradox of Value explains why all goods have the same market value.
• The Paradox of Value states that essential goods are always more expensive than luxury items.
• The Paradox of Value is a theory that suggests market value is determined solely by supply and demand.

The capacitiy to be useful and provide satisfaction

• Value
• Functionality
• Satisfaction
• Utility

The accumulation of those products that are tangible, scarce, useful, and transferable from one person to another.

• Wealth

• Assets
• Resources
• Services