Term
|
Definition
| Decision made or course of action taken when faced with a set of alternatives. |
|
|
Term
|
Definition
| Reaching a conclusion after considering alternatives and their results. |
|
|
Term
|
Definition
| Tangible objects that satisfy economic wants. |
|
|
Term
|
Definition
| Any reward or benefit, such as money, advantage or good feeling, that motivates people to do something. |
|
|
Term
|
Definition
| The second-best alternative (or the value of that alternative) that must be given up when scarce resources are used for one purpose instead of another. |
|
|
Term
|
Definition
| People and firms that use resources to make goods and services. |
|
|
Term
|
Definition
| The condition that exists because human wants exceed the capacity of available resources to satisfy those wants; also a situation in which a resource has more than one valuable use. The problem of scarcity faces all individuals and organizations, including firms and government agencies. |
|
|
Term
|
Definition
| Activities performed by people, firms or government agencies to satisfy economic wants. |
|
|
Term
|
Definition
| A situation in which people produce a narrower range of goods and services than they consume. Specialization increases productivity; it also requires trade and increases interdependence. |
|
|
Term
|
Definition
| Desires that can be satisfied by consuming or using a good or service. Economists do not differentiate between wants and needs. |
|
|
