Economics Part I Review

1. The 3 basic economic questions a nation must answer are: (1) What goods and services will be produced, (2) How should the goods and services be produced and (3) For ___________ should the goods and services be produced?
8. This type of good is for you and me.
10. Mixed economy is another name for ___________.
12. Examples of this type of economy include Haiti, Alaska, Canada & Greenland.
13. This means that all resources are limited.
14. The top level of the hierarchy in the channel of distribution is the ___________ (in our example, the farmer).
16. Another name for market economy is this.
21. Goods or products that you can touch (car/computer).
22. Adam ___________ is known as the "Father of Economics".
23. The 4 factors of production are Land, labor, entrepreneurship & ___________.
24. Another name for a command economy is this.
26. Another name for service, such as education & repairs.
27. Tools are an example of this factor of production.

2. The study of economics of a small unit, such as a family or business.
3. The "Invisible Hand" means there is less ___________ involvement.
4. The economic regulator in a capitalist economy is ___________.
5. Economics is the study of the way a nation (or business or person) uses its limited resources to satisfy ___________ wants and needs.
6. This type of good is used for manufacturing other goods.
7. Human resources is another name for this factor of production.
9. The study of economics of an entire country.
11. Coal is an example of which factor of production?
15. This is the "cost" incurred by enjoying the benefit associated with the best alternative choice. (two words)
17. Adam Smith wrote a book about capitalism entitled, "The ___________ of Nations".
18. This type of good is meant to last for years (tires, furniture).
19. This type of good is meant to last a short time or have a one-time use (food, paper, cleaners).
20. Economics is the study of ___________ and choices.
22. The economic driver in a capitalist economy is ___________. (hyphenated word with no hyphen).
25. The president who used opportunity cost to defend his choice in purchasing military warfare was Dwight D. ___________.