Economics correct answers The study of how people use their scarce resources to satisfy their unlimited wants.
Resources correct answers The inputs, or factors of production, used to produce the goods and services that people want; consists of labor, capital, natural resources, and entrepreneuri...
ECO 111 Exam 1 || with 100% Error-free Solutions.
Economics correct answers The study of how people use their scarce resources to satisfy their
unlimited wants.
Resources correct answers The inputs, or factors of production, used to produce the goods and
services that people want; consists of labor, capital, natural resources, and entrepreneurial ability.
Labor correct answers The physical and mental effort used to produce goods and services.
Capital correct answers The buildings, equipment, and human skill used to produce goods and
services.
Natural Resources correct answers All gifts of nature used to produce goods and services;
includes renewable and exhaustible resources.
Entrepreneurial Ability correct answers The imagination required to develop a new product or
process, the skill needed to organize production, and the willingness to take the risk of profit or
loss.
Entrepreneur correct answers A profit seeking decision maker who starts with and idea,
organizes an enterprise to bring that idea to life, and assumes the risk of the operation.
Wages correct answers Payment to resource owners for their labor.
Interest correct answers Payment to resource owners for the use of their capital.
Rent correct answers Payment to resource owners for the use of their natural resources.
Profit correct answers Reward for entrepreneurial ability; sales revenue minus resource cost.
Good correct answers A Tangible product used to satisfy human want.
Service correct answers An activity, or intangible product, used to satisfy human wants.
Scarcity correct answers Occurs when the amount people desire exceeds the amount available at
a zero price.
Market correct answers A set of arrangements by which buyers and sellers carry out exchange at
mutually agreeable terms
Product Market correct answers A Market in which a good or service is bought and sold.
Circular-Flow Model correct answers A diagram that traces the flow of resources, products,
income, and revenue among economic decision makers.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller FullyFocus. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.29. You're not tied to anything after your purchase.
