opportunity cost
The value of your second choice that you give up when you take your first choice is ___.
scarcity
The central problem in economics is ___.
economics
the study of the production, distribution and consumption of goods and
services.
positive statement
An expression of fact
natural resources
Raw materials that have not been processed
production
The creation of goods and services
factors of production
The resources necessary for production are classified as the four ___
production possibilities frontier
A graph showing the combinations of two products that could be made from a
fixed set of resources is called a ___.
labor
human effort that is applied to natural resources to produce goods and
services.
normative statement
An expression of a value judgement
entrepreneurship
A factor that initiates and supervises production, while taking on the majority of
risk
rational choice
means making decisions such that the benefits to society are greater than the
costs.
capital
The tools that are used by labor in making products
model
A theory of reality used to make predictions
trade off
When you give up one thing for another, you are making a
goods
Tangible things that satisfy human wants and needs
services
Intangible things that satisfy human wants and needs
resources
all the things necessary to produce goods and services.