Chapter 1 - Economics

4. tools, equipment, and factories used in the production of goods and services; one of four factors of production
5. of capacity of a good or service; form of a benefit tax
8. resources or "gifts of nature" not created by human effort; one of four factors of production
9. sum of tangible economic goods that are scarce, useful, and transferable from one person to another; excludes services
10. basic requirement for survival; includes food, clothing, and/or shelter
12. worth of a good or service as determined by the market
14. or labor performed by someone; economic product that includes, haircuts, home repairs, forms of entertainment
16. measure of the amount of output produced with a given amount of productive factors normally refers to labor, but can apply to all factors of production

1. science dealing with the study of how people satisfy seemingly unlimited and competing wants with the careful use of scarce resources
2. dollar value of all final goods, service, and structures produced within a country's national borders during a one-year period
3. something we would like to have but that is not necessary for survival
6. people with all their abilities and efforts; one of the four factors of production, does not include the entrepreneur
7. risk-taking individual in search of profits; one of the four factors of production
11. meeting place or mechanism allowing buyers and sellers of an economic product to come together; may be local, regional, national, or global
13. tangible economic product that is useful, relatively scarce, transferable to others; used to satisfy wants and needs
15. fundamental economic problem facing all societies that results from a combination of scarce resources and people's virtually unlimited wants