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|the study of how individuals and nations make choices about ways to use scarce resources to fulfill their needs and wants.
|the economic behavior and decision-making by individuals and small businesses.
|economic behavior and decision-making by government or whole industries or societies.
|nation's way of producing things its people want and need
|the money, people, and materials available to accomplish a community's goals.
|not having enough resources to produce all of the things we would like to have.
|the alternative you face if you decide to do one thing rather than another.
|the cost of the next best alternative use of time and money when choosing to do one thing rather than another.
|the additional or extra opportunity cost associated with an action.
|the additional or extra benefit associated with an action.
|economic model that compares the marginal costs and marginal benefits of a decision.
|work performed by a person for someone else.
|Factors of Production
|resources necessary to produce goods and services.
|previously manufactured goods and services.
|individual who starts a new business, introduces a new product, and improves a management technique.
|Gross Domestic Product (GDP)
|total dollar value of all final goods and services produced in a country during a single year.
|Standard of Living
|the material well-being of an individual, group, or nation measured by how well their necessities and luxuries are satisfied.
|free and willing exchange of goods and services between buyers and sellers.
|a market where productive resources are bought and sold.
|a market where producers offer goods and services for sale.
|the degree to which resources are being used efficiently to produce goods and services.
|when people, businesses, regions, and/or nations concentrate on goods and services that they can produce better than anyone else.
|a reliance on others, as they rely on you, to provide goods and services to be consumed.
|a system in which private citizens own most, if not all, of the means of production and decide how to use them within legislated limits.
|economic system in which individuals and businesses are allowed to compete for profit with a minimum of government interference.
|the role of consumer as the ruler of the market, determining what products will be produced.
|Private Property Rights
|the freedom to own and use property as we choose as long as we do not interfere with the rights of others.
|the driving force that encourages individuals and organizations to improve their material well-being.
|the act of buyers and sellers freely and willingly
|economic system where government should not interfere in the marketplace.