Econ final review Flashcards
|Term||Definition Natural gas, coal, trees, water|
|Term using physical capital to save time and money||Definition building extra space in a factory to simplify production|
|Term What is the difference between a shortage and a scarcity?||Definition A shortage can be temporary or long-term, but scarcity always exists.|
|Term Which of the following are factors of production? scarcity and shortages technology and productivity capital and land economics and business decisions||Definition|
|Term When a theater owner considers whether to install another row of seating, she isthinking at the margin. using human capital. experiencing a shortage. underutilizing her resources.||Definition|
|Term Why are goods and services scarce? Some goods cost more than others. People want more than they can have. Greedy people want too many goods. Resources used to produce them are limited.||Definition Resources used to produce them are limited.|
|Term 13. Which would a company do to increase its human capital? pay for employees’ education build a company cafeteria hire more part-time workers lease cars for employees||Definition pay for employees’ education|
|Term Which of the following are all considered to be land? dams, bridges, gravel pits, oil wells corn fields, tractors, computers, rakes factories, buildings, workers, bees natural gas, coal, trees, water||Definition natural gas, coal, trees, water|
|Term What physical capital does a woodworker need? saws and drills trees and oil hard work and time skills and money||Definition|
|Term A production possibilities curve shows the relationship between the production of two types of factory goods. farm goods and factory goods. any two categories of goods. two types of farm goods.||Definition any two categories of goods.|
|Term The line on a production possibilities curve showing the relative amounts of two types of goods produced using all resources is called the maximum possible production line. utilization of resources. opportunity cost line. production possibilities frontier||Definition production possibilities frontier|
|Term An economy that is producing the maximum amount of goods and services is considered growing. underutilized. trading off. efficient.||Definition|
|Term A company that makes baseball caps is underutilizing its resources. What does this mean? The company is running more efficiently than its competitors. The company is making caps when it could be making t-shirts instead. The company is producing fewer caps than it could be. The company is paying its employees less than it should be.||Definition The company is producing fewer caps than it could be.|
|Term The law of increasing costs means that when an economy increases the production of one item the opportunity cost goes up. actual cost goes up but the opportunity cost goes down. production costs will increase also. actual cost of making the item goes down||Definition|
|Term A nation’s automakers install new robotic machinery to build cars. As a result, cars take only a day to make, and the factories can produce many more cars than before. This is an example of growth caused by natural resources. labor. technology. production possibility curves||Definition|
|Term The economic concept of guns or butter means that a company must decide whether to manufacture guns or butter. a government can buy unlimited military and civilian goods if it is rich enough. a person can spend money on either sports equipment or food. a government must decide to produce more or less military or consumer goods.||Definition a government must decide to produce more or less military or consumer goods.|
Chapter 1,2,3 Economics Flashcards
What characteristics may be used to describe the Hong Kong economy? The government of a country must choose between spending money on a hospital and spending the same amount of money on border protection in order to function properly. What type of choice has been made here? What exactly can a decision-making grid accomplish? Assist you in determining some of the opportunity costs associated with your selection. Tires and kiwi fruit have long been produced in huge quantities in the Desertville community.
The cost of manufacturing kiwis will rise as a result of the law of rising costs, which states that When plotted on a graph, production possibilities borders curves are important because they demonstrate Growing expenses are leading in a decrease in overall production.
- The process of specialization has a number of effects on an economy.
- What factors can influence the movement of a production possibilities curve to the right?
- When it comes to scarcity, which of the following is true rather than the opposite?
- The resources that are utilized in the production of all products and services are the It is the goal of a production possibilities graph to demonstrate alternate ways of utilizing an economy’s available resources.
- Which of the following is a scarcity when there is a scarcity of it?
- What is causing all commodities and services to be in short supply?
- You’re out of money.
This Saturday night, have supper and a movie with your buddies.
The most desired alternative that was sacrificed in the process of making the decision What is an example of an industrial construction project?
The ability of a taxi driver to navigate the city’s streets Who was the leader who was responsible for bringing communism and central planning to the Soviet Union and its successor states?
The auto industry of a country invests in new robotic machinery to manufacture automobiles.
This is an illustration of growth resulting from All of the decisions listed below are examples of decisions that may be made on the fly.
Its function is to operate as a regulatory factor in the market.
Which type of economy would provide you with the best opportunity to strive to attain success in your endeavors?
What would you call an economy that makes the most of its resources in order to produce the biggest amount of products and services possible?
Unemployment benefits are provided.
What exactly does this imply?
The physical capital required by a carpenter to produce furniture would contain the following items: Is it possible to define the role of an economic system?
Individuals who hold this belief feel that true equality can only exist when political equality is combined with economic equality.
This individual is a libertarian.
In what ways do manufacturers have an incentive to market their products?
Firms get payment from households for goods and services.
The procurement and provision of products and services takes place in the marketplace.
This is the market in which individuals and businesses buy the commodities and services that businesses generate.
What procedures should be in place to guarantee that products and services are properly reimbursed?
In order to meet the needs of those who cannot be met by the marketplace.
After a nation is defeated in a battle, it loses its territory.
When viewing a production possibilities curve, which of the following is NOT depicted?
Children are more likely than not to have the same jobs as their parents.
Which of the following lists would an economist regard to be land?
most workers lack job security Suppose there is a family in which all the boys are expected to become farmers when they’re adults, just as fathers and grandfathers did.
What might be a hardship for citizens of centrally planned economy making a transition to a market based system?
What is the most effective way for consumers to make their desires known to businesses?
The noise of the airplanes is a Why does the government protect inventors and authors by offering them patents and copyrights?
regulations on work place safety and information about hazards in the workplace Each payday some of your pay is withheld as payroll deductions for Social Security.
It is redistributed as cash transfers to elderly and disabled people Why does the government use its powers to make sure that businesses disclose so much information to the public?
What is one benefit provided by Social Security?
What kind of benefit are they receiving?
Constitution guarantees certain rights that allow people to engage in business activities.
Constitution NOT guarantee?
it makes the economy stronger and more efficient Automakers are required to comply with public disclosure laws.
Car dealers must prominently display a sticker with the fuel efficiency in the car window To stabilize the economy, policymakers try to achieve three main outcomes: high employment, steady growth, and A person who consumes a good or service but does not pay for it is called which of the following?
- Catrine is a single mother who works 40 hours per week.
- What does the Temporary Assistance for Needy Families program provide?
- Why might the company do this?
- You will still be able to get public broadcasting whether or not you contribute to their fundraising campaign You read an article in a news magazine that explains how the economy expanded for several years, then went into a period of contraction.
- What is the difference between a business cycle and the day to day ups and downs of the market?
- the total benefits to society are greater than the total cost Why is legal equality important to the free enterprise system?
- What best describes the role of government in a free enterprise system?
an economic side effect that generates unexpected benefits an economic side effect of a good or service that generates benefits or costs to someone other than the person deciding how much to produce or consume In 1996, a new federal welfare program called Temporary Assistance for Needy Families began assisting poor families.
direct cash payments to recipients Which of the following is a private organization that attempts to influence public officials to act or vote in ways that will benefit group’s members?
consumer product safety and EPA According to Figure 3.1, which programs are examples of direct cash transfers? TANF, unemployment insurance, social security According to Figure 3.1 which programs provide short-term safety nets for people in direct need?
Chapter 1 Flashcards by Selena McGuire
4 Key Resources – These are the four fundamental types of resources that are utilized to generate products and services: land or natural resources, labor or human resources, capital, and entrepreneurial endeavors.
What are any resources that are made by humans and used to create other goods and services called production capital labor services?
|Any resources that are made by humans and used to create other goods and services are called||capital|
|An example of a shortage is limited amounts of||food available because the trucks carrying it are on strike|
|The resources used to make all goods and services are the||factors of production|
When an economy uses its resources to make the most goods and services it is said to be what?
Essentially, factors of production are the resources that people employ in order to generate products and services; they serve as the fundamental building blocks of the economy. Economists classify the components of production into four categories: land, labor, capital, and entrepreneurship. Land is the most basic of the factors of production.
What is meant by an economy Underutilizing its resources?
A baseball cap manufacturing firm is underutilizing its available resources. What exactly does this mean? This indicates that the firm is generating fewer caps than it might be.
What is it called when you use resources to produce the maximum amount of goods and services?
The elements of production are the things that make things happen. It is referred to as the utilization of resources in a manner that maximizes the production of products and services. efficiency.
What is the use of resources in such a way as to maximize the output of goods and services?
Vocablury in Chapter 1 of Economics
|efficiency||Using resources in such a way as to maximize the production of goods and services.|
|entrepreneur||Leader who combines land, labor and capital to create and market new goods or services.|
How would you describe an efficient economy?
Economic efficiency refers to a condition of affairs in which every resource is allocated effectively in order to serve each individual or organization in the most efficient manner possible while avoiding waste and inefficiency. When an economy is economically efficient, any adjustments made to benefit one entity will have a negative impact on the rest of it.
Which is the best description of economic resources?
Economic resources are the inputs that we employ in order to manufacture and distribute products and services to the public. Although the specific proportions of each aspect of production will differ from one product to another and from one service to another, the objective is to make the most efficient use of available resources while maintaining the lowest feasible cost.
Which is an example of an efficient economy?
Demonstrate different methods of utilizing an economy’s resources. An efficient economy is one that makes the most of its resources in order to produce the greatest number of products and services. The law of growing costs states that as an economy expands the production of a particular item, the opportunity cost of that item grows.
Why are all goods and services scarce in economics?
Possibilities for production When shown on a graph, frontiers curves are used to depict the growing expenses that result with increasing amounts of production. What is causing all commodities and services to be in short supply? All resources are in short supply.
Which is the best description of a market economy?
Traditional economies, command economies, market economies, and mixed economies are the four types of economies (a combination of a market economy and a planned economy). An economy based on supply and demand, commonly referred to as a free market or free enterprise, is a type of economic system in which economic choices, such as the prices of products and services, are decided by supply and demand.