Year 10 Producers, Resources and Production Definitions

Vocabulary flashcards covering core economics definitions relating to producers, resources, and production.

Need

Something essential for survival e.g. food, clothing, shelter

Want

Something desired but not essential for survival e.g. ipad

Goods

Tangible items e.g. shoes

Service

A job done for you e.g. haircut, massage

Consumers

People who buy/use goods and services

Producers

Anyone involved in making goods or providing services e.g. accountant

Inputs

Resources used in the production process. (Natural, capital or human)

Outputs

The goods and services created by the production process

Natural resources

Resources provided by nature e.g. mineral deposits, fish, sunlight, water

Renewable resources

Natural resources that can regenerate/regrow in a reasonable time frame

Non-renewable resources

Natural resources that cannot regenerate/regrow in a reasonable time frame

Capital resources

Man-made resources used in the production process eg. factory, machines

Capital-Intensive Production

Where the production process uses more machines than workers

Consumer goods

Goods and services bought by householders to satisfy their needs and wants

Labour Resources

Workers used in the production process

Enterprise

Entrepreneurs are people who take risks by bringing together resources to set up a new business

Labour-intensive production

Where the production process uses more workers than machines

Primary sector

Firms that extract natural resources eg. farming, mining, fishing

Secondary sector

Firms that process resources into finished or semi-finished goods eg. manufacturing

Tertiary sector

Firms that provide a back-up service eg, retailing, banking, transporting

Interdependence

Where 2 groups rely on each other (eg. firms depend on households to buy their products while households depend on firms for jobs and to provide goods and services)

Production

Creating goods or services. It involves inputs (resources) being processed into outputs.

Productivity

Measures the rate of output to show the efficiency of the production process. (Labour productivity = output per worker per hour.)

Specialisation

Where a worker or machine produces just one part or one type of output.

Division of labour

Where the production process is divided into distinct tasks so that each worker specialises in just one part of it.