Economics

Matching
1. 2. 3. 4. 5. 6. 7. 8. supply money barter surplus demand opportunity cost income specialization a. making a choice to give up one thing in order to get something else b. division of work into specialized tasks, allowing people to be more productive c. a consumer's desire and willingness to pay a price for a specific good or services d. money earned from working e. exchange of goods or services without money f. when quantity supplied is more than the quantity demanded g. the total amount of a specific good or service that is available to consumers h. anything that is generally accepted as payment for goods or services, serves as a medium of exchange, a store of value

Fill in the Blank

Word Bank budget competitors economics market producer productivity 1. McDonalds and Burger King are , with each other, in the fast food business. 2. Henry Ford used the assembly line to increase his workers as they manufactured automobiles. 3. A is a person or business that makes goods or services. 4. When buyers and sellers come together for the purchase and sale of an item they have developed a for the item. 5. is the study of money and how goods and services are made, distributed, and used. 6. Tommys family uses a to monitor their spending and saving.

Economics
Multiple Choice
1. A shortage occurs when a. Producers make more than consumers want to purchase b. Consumers want to purchase more than producers make c. Businesses compete with each other d. Different jobs are needed to produce a product 2. Which job provides the best definition for an entrepreneur? a. Teacher b. Small business owner c. Employee at a restaurant d. Firefighter 3. The state of Kansas specializes in growing what crop? a. Cotton b. Corn c. Wheat d. Onions

Short Answer
List the four things you can do with money. 1. 2. 3. 4. List the three types of productive resources. 1. 2. 3.

Economics
Cost and Benefits
List a cost and benefit for each situation. Write a sentence to explain your response. 1. Buying a new bicycle rather than a video game Cost: Benefit: 2. Saving your allowance rather than buying candy Cost: Benefit: 3. Going to sleep rather than watching a movie Cost: Benefit:

Economics
Identify a natural, human, and capital resource in the picture.

1. Natural Resource: 2. Human Resource: 3. Capital Resource:

Explain the process cotton goes through to become the jeans you wear.

Economics
Opportunity Cost

List three activities you like to do with your friends. 1. 2. 3. When your friend arrives to play you must select an activity. Mark your favorite activity with a star. Mark your opportunity cost with a dollar sign. Mark your remaining activity with a frowning face.

Budgeting
Use the information and space below to create a budget for Sally. Sally gets $40 a month from her parents. Her parents require her to save half of her money. Of the remaining half of her money she must spend $10.00 a month on books. Sally also likes Twizzlers, her parents allow her to buy one bag a month, which cost her $2.00. Sallys pet fish must also be fed. The fish food cost her $3.00.

Income:

Expenses: Savings:

1. How much money does Sally have left at the end of the month? 2. Sally sets a goal to purchase a new video game that cost $40.00. How many months will she need to save her money, from the end of the month, to purchase the game?

Economics
Use the information in the table to complete the graph.

Price Per Soda $2.00 $1.75 $1.50 $1.25 $1.00 Market for Soda

Quantity Demanded 2,000 4,000 6,000 8,000 10,000

Quantity Supplied 10,000 8,000 6,000 4,000 2,000

Quantity

What is the equilibrium price for soda? Word Bank goes up goes down

goes up

goes down . , quantity supplied

The law of demand states that as price goes up, the quantity demanded and that as the price goes down the quantity demanded The law of supply states that as price goes up and as price

, quantity supplied goes down.