econ notes

Voluntary exchange

Voluntary exchange

________- buyers and sellers freely and willingly taking part in transitions.

Specialization

________- Assignment of tasks to workers, factors, regions, or nations that can perform the most efficiently.

Movement

________- along the curve (A to B) moving resources from one area to another.

Tradeoff

________: all of the alternative things you could be doing.

Shift

________- outward or inward (entire curve forcing inward or outward or one end is moving out)

Opportunity cost

________: The most desired trade- off of a decision.

Entrepreneurship

________- serving and observing the farm RND (knowledge and hardship that went into the farm)

Capitalism

________ thrives on competition.

Consumers

________ compete to find the best product at the lowest price.

Producers

What are rewarded for profits,

Businesses

________ have the freedom to hire the best workers.

Free enterprise economy

________- privately owned businesses have the freedom to operate for a profit with limited government intervention (what, how, for whom)

Division of labor

________- Separate tasks to be performed by different workers.

Private property people

________ have the right to control possessions as they wish.

Human capital

________- the sum of peoples skills, health, and motivation.

Economic models

________- a simplified version of complex concepts or behaviors.

Uneven economics of growth

________: business cycle.

Economic Growth

________- Total output of goods and services increases over time.

Competition

________- ________ thrives on ________.

Opportunity cost

________: the most desired alternative.