1. What is the fundamental economic problem?
In economics terms __________ refers to limitations such as insufficient resources, goods, or abilities to achieve the desired ends.
A term used to describe the way in which factors of production are distributed among producers:
1. Economic systems are the means by which countries and governments distribute resources and trade goods and services.
Provide an example for the types of resources listed
Land
Labour
Capital
What is opportunity Cost?
Improvements in the production process that meet current needs without compromising the ability of future generations to meet their own needs:
List two determinants/factors of Supply
List two factors/determinants of Demand
Which of the following illustrates the Law of Demand?
Which of the following illustrates the Law of Supply?
We learned in our research on the Melbourne housing market that in many neighbourhoods new home buyers made up only half of the buyers. Who was the other half?
Describe at least one demand determinant that influences these other (i.e. non new home buyers) buyers.
What is GDP and what is it used for?
How is GDP per capita different from GDP?
Overall, have living standards increased or decreased in Australia over the past 10 years? Justify your response.
What are the three main economic indicators that the Government and the RBA are concerned with?
What are two main areas of comparative advantage that Australia has? How is this reflected in the economy? (HINT: THink back to the website we looked at last week.)
How has China's comparative advantage in labour intensive/low skill manual labour benefitted the country?
How can economic growth lead to a decrease in living standards?