Basic Notes Econ Essay

Submitted By kreampuff
Words: 525
Pages: 3

Term Example (related to reading) Definition

1. Economics We see the need to buy gifts but only having little money a science concerned with the process or system by which goods and services are produced, sold, and bought
2. Wants Each person in the story wants to give a great gift, and they want to have enough money to buy a great gift. Have a desire to possess or do (something); wish for:
3. Needs They need money to buy. Of necessity.
4. Scarcity There was a scarcity of money and of a valuable good to offer The state of being scarce or in short supply; shortage:
5. Goods The watch chain and combs Merchandise or possessions:
6. Consumer goods Combs… watch chain… Goods bought and used by consumers, rather than by manufacturers for producing other goods. Often contrasted with capital goods.
7. Capital goods Her hair can be used for wigs

Goods that are used in producing other goods, rather than being bought by consumers. Often contrasted with consumer goods.
8. Durable goods Combs? Watch chain? North American term for consumer durables.
9. Nondurable goods Hair? Goods in North America that cannot be reused – usually don’t last to 3 years
10. Services The girl gets her hair cut To perform a task for someone or something
11. Renewable Resources Water, air, sunlight A material/source that can be renewed and is abundant
12. Non-
Renewable resources Gasoline, petroleum, coal, oil A material/source that cannot be renewed and is usually in scarcity
13. Factors of Production forklift Resources used by businesses to produce goods and services.
14. Land Where there home was located was on land The part of the earth’s surface that is not covered by water:
15. Labor The man had to work- jobs Work, especially physical work:
16. Capital The building where she got her hair cut All buildings, equipment and human skills used to produce goods and services.
17. Entrepreneurship An inventor usually does so

The human resource that assumes the risk of…