Matching Pairs Econ Chapter 1 ReviewOnline version A reivew by Adam Hayes 1 The phrase that describes how a nation must choose between military and domestic goods. 2 All of the natural resources provided by Earth. 3 When you do not make an all or nothing decision, but in increments of just one more (or less). 4 Actions or activities that one person performs for another. 5 The key economic problem; unlimited wants and needs, limited goods and services. 6 The effort that goes into any good or service. 7 When an economy shows up on the line of a Production Possibilities Curve. 8 As we shift from 1 good to another, the cost of the 2nd good increases. 9 A study of people and the choices they make to satisfy their wants / needs. 10 All of the possible alternatives to any given choice. 11 An individual who finds a new way to combine the factors of production to make a new good / service. 12 Any item that we desire, but is not necessary for survival. 13 The most desirable alternative we give up when making any choice. 14 The knowledge and skills possessed by a person through education / experience. 15 Physical items within an economy (i.e. desk, building, etc.) 16 Items that one needs for survival like food and water. 17 Items within an economy like tools / buildings. 18 Any point inside the line of a possibilities production curve. Physical Capital Land Services Scarcity Needs Want Labor Opportunity cost Law of Increasing Costs Trade Offs Human Capital Goods Entrepreneur Guns or Butter Thinking at the Margin Economics Efficiency Underutilization
New game