Vocabulary
Practice the vocabulary words from the lesson.
Tangible objects that satisfy economic wants are called ________.
goods
Activities performed by people, firms or government agencies to satisfy economic wants are called ________.
services
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 is called _________.
scarcity
A decision made or course of action taken when faced with a set of alternatives is called a(n) ________.
choice
A decision-making tool for comparing the additional or marginal benefits of a course of action to the additional or marginal costs is ________ _______.
marginal analysis
The additional gain from consuming or producing one more unit of a good or service is called _________ _________. It can be measured in dollars or satisfaction.
marginal benefits
The increase in a producer's total cost when it increases its output by one unit is called __________ ______.
marginal costs