| Across |
| 1. |
Production levels outside the PPC that cannot be reached under current conditions. Future technologies or an increase in resources could cause the PPC to move outward. |
| 2. |
An economic model that shows all the possible combinations of two goods that could be made using all available resources |
| 3. |
The value of the next-best alternative when a choice is made |
| 4. |
One who recognizes a profit motive and takes on risk to organize the resources needed to start a business |
| 7. |
All of the human inputs in the production of goods and services |
| 9. |
The level of wealth, comfort, material goods and necessities available to a group or nation. |
| 10. |
System in which the government controls the factors of production and decides what to produce. Communism is an example. |
| 11. |
Private Individuals and businesses control the factors of production and the free market determines prices. The government takes a hands-off approach to the economy. Also called capitalism. |
| 12. |
The land, labor, and capital that goes into the production of goods and services (not money) |
| 13. |
A voluntary exchange that is mutually beneficial |
| 17. |
Individual workers focus on single tasks, enabling each worker to be more efficient and productive |
| 19. |
The condition of having unlimited wants and limited resources |
| 21. |
The combination of free markets and government regulation that exists in virtually every modern economy, although each country may have more of one or the other. |
| 23. |
The ability of an individual or group to produce something more efficiently than another. |
|
|
| Down |
| 1. |
When an incentive is designed to encourage a particular behavior but backfires, causing effects that were not planned by those who designed the incentive. |
| 5. |
Goods that, once produced, are available to all, such as military defense and roads. |
| 6. |
Economic system in which production and trade are controlled by private owners who are motivated by profit |
| 7. |
All natural resources used in production of goods and services |
| 8. |
Free-market economist who supported trade and authored The Wealth of Nations. |
| 10. |
The ability of an individual or group to produce something at a lower opportunity cost than another. |
| 14. |
All of the machinery, equipment, and man-made goods that are used in the production of goods and services |
| 15. |
External motivators that explain people’s choices |
| 16. |
Households sell resources (especially labor) to businesses for money in the resource market and use that money to buy goods and services from businesses in the product market. |
| 18. |
Wasted resources cause production to fall below the PPC, such as unemployed workers or unused factories |
| 20. |
A choice that has both costs and benefits |
| 22. |
The study of an entire economy, including its output, unemployment government spending, and growth |
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