Economics The study of the choices people make to satisfy their unlimited needs andwants by using limited resources Economist A person who studies the choices made within an economic system Microeconomics The study of individual economic actors. Example

Human Resource

is any physical or mental action which is performed in the production of a good or service. Examples: pounding nails, paintingi a wall speaking to students, washing a car.

Good

A good must be a tangible item. A finished product that is purchased or shared for consumption

Economist

A person who studies the choices made within an economic system

Model

A simplified version of a reality based on assumptions relating to a current condition

Technology

Any new skill or innovation that creates something new or modifies an exsisting product to make it easier

Producer

Any person or thing that makes a product to be consumed.

Consumer

Are the people, businesses, and households that use ( to get utility from) products. Examples: A consumer may eat a hamburger, but a consumer may also war a pair of jeans.

Service

IS an action which is done for you. And example may be a hair styllist, cutting your hair, it may be a doctor repairing your broken arm.

Natural Resource

Is an unaltered gift from nature, Examples: trees, dirt, water, oil, sunlight

Capital Resource

Is any finished product which has a value( a truck or computer), but is used to prodice a different item.

Resource

Is anything a person or entity uses to produce a good or service

Macroeconomics

Is the study of multiple economic actors, Examples could be the study of unemployment or studying a nations economy.

Scarcity

The availablilty of a need or want determines its scarcity. when a resource or product is scarce, it becomes more valuable. Example: is the cost of a diamond compared to the cost of a bucket of water

Opportunity Cost

The loss of the next best alternative when resources have been used up

4 factors of production

The physical items and human efforts required to make a product.

Entreprenuership

The process of creating a new business. An entrepreneur takes risk. The risk involved is that you may fail and go bankrupt. However if you suceed you may become wealthy quickly.

Microeconomics

The study of individual economic actors. Example, it may be the study of your household budget or may be the study of something as large as Nike corporation, both are only one actor of study.

Economics

The study of the choices people make to satisfy their unlimited needs andwants by using limited resources

Efficiency

The use of the smallest amount of resources to gain the greatest amount of output

Trade-offs

Things given up to obtain something else

Allocate

To decide how to use one's resources

Production Possibilities Curve

all the possible combinations that a producer may produce of thwo distinct products