Basics of Economics

The factors of production include land, labor, capital and...

• entrepreneurship

• supply and demand

• externalities

• deficits

Answer explanation

4 factors of production: land, labor, capital and entrepreneurship; entrepreneurs take risks in return for potential rewards.

If technological advancements lead to more efficient production..

• the PPC would shift outward/to the right

• the PPC would shift inward/to the left

• there would be no movement in the PPC

• there would be mass unemployment and higher price levels

Answer explanation

Economic growth caused by advances in technology shift the PPC to the right.

the study of how individuals behave when it comes to satisfying their unlimited wants and needs with limited resources.

• Economic Activity

• Economics

• Business

• Resources

the money businesses get to keep after paying off expenses. Profits are a measure of the value it creates in society.

• Cost

• Profit

• Expenses

• Consumer

an individual who buys goods and services from businesses.

• Consumer

• Economics

• Profit

• Expense

the activity of producing and selling of goods or services and making them available to all consumers.

• Consumers

• Economics

• Economic Activity

• Profit

work that businesses preform for consumers.

• Services

• Goods

• Resources

• Business

products created by businesses that you can physically touch and see.

• Business

• Profits

• Services

• Goods

Identify the correct sentence structure: 'Economics, which is a social science, studies the production, distribution, and consumption of goods and services.'

• A) Economics which is a social science studies the production distribution and consumption of goods and services.

• B) Economics, which is a social science studies the production, distribution, and consumption of goods and services.

• C) Economics, which is a social science, studies the production, distribution, and consumption of goods and services.

• D) Economics which is a social science, studies the production, distribution, and consumption of goods and services.

Choose the correct vocabulary word: 'The _______ of economics involves understanding how resources are allocated.'

• A) principle

• B) principle

• C) principal

• D) principal