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Economics
the study of the decisions involved in producing, distributing and consuming goods and services
Opportunity Cost
the value of a second choice, given up when a first choice is taken
Labor
“human effort” applied to resources in order to produce
Products
things that people buy
Goods
tangible (physical/touchable) objects that people consume here and abroad. They satisfy human wants/needs
Production
the creation of any kind of good or service
Capital
“tools” used by labor in the production process
Services
intangible (can’t physically examine) things that people consume here and abroad. They satisfy human wants and needs
Resources
anything that can be used for production
Entrepreneurship
the organization and risk necessary to bring production about (primary/foundational)
Scarcity
the condition that exists in society where there are not enough resources to satisfy people’s wants/needs. The fundamental economic dilemma. No need for economics or economic systems without ______
Factors of Production
the four general classifications of things that can be combined in order to produce
Intangible
can’t physically examine/touch
Trade-Offs
one for one comparable value exchanges
Natural Resources
things that are in there “natural state”, and have not been altered by human hands
Tangible
physical/touchable
TINSTAAFL
there is no such thing as a free lunch; Nothing is free in an “economic sense” because someone is always paying for it.
Note 
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