INTRODUCTION TO ECONOMICS

2. The cost of a purchase/decision measured in terms of a forgone alternative; what was given up to make a purchase/carry out a decision.
3. Goods used in production of other goods/services.
4. income return to owners of capital.
5. The function of organizing resources for production and taking the risk of success/failure in a productive enterprise.
7. Giving up one thing for something else.
8. Persons and things used to produce goods/services; limited in amount; categorized as labor, capital, land, and entrepreneurship.
11. Goods that are produced for final buyers.
13. an illustration showing the relationship between two variables that are measured on the vertical and horizontal axes.
17. Income return to labor.
18. Conditions held to be true within a model.
19. The setting within which an economic theory is presented.
21. A guide for a course of action.
22. Resources available for production are not being used.
25. when a given good/service is produced at the lowest possible cost.
26. The study of the operation of the economy as a whole.
27. Income return to those performing the entrepreneurial function.
28. Two variables move in the same direction: when one increases, so does the other; graphs as an upward-sloping line.
29. Two variables move in opposite directions: when one increases, the other decreases; graphs as a downward-sloping line.
30. The study of how scare/limited resources are used to satisfy people's unlimited wants/needs.

1. The relative importance that a person assigns to an action/alternative.
6. Gives the various amounts of two goods that an economy can produce with full employment and fixed resources and technology.
9. Physical and mental human effort used to produce goods/services.
10. Justice and fairness in the distribution of goods/services.
12. The study of individual decision-making units and markets within the economy.
14. Productive inputs that originate in nature, such as coal and fertile soil.
15. There are not enough, nor can there ever be enough, goods/services to satisfy the wants/needs of all people in societies.
16. A formal explanation of the relationship between economic variables.
20. an increase in an economy's full employment level of output over time.
23. the use of statistical techniques to describe the relationships between economic variables.
24. Income return to owners of land resources.