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Economics Topic 1 & 2

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4.Fill in the blank: The demand for goods with lots of substitutes are usually ____ ___________.
6.Unlimited wants; finite resources.
7.Goods that lasts for a long time (e.g. washing machine).
11.One of the factors of production. Things that are used to produce other goods and services.
12.Goods that can replace one another (e.g. butter and margarine)
15.Goods that are often bought together (e.g. bread and butter).
16.Quantity consumers are willing and able to purchase at different prices.
2.Formula: percentage change in quantity demanded / percentage change in price.
3.Quantity demanded=quantity supplied
5.Market failure/ The prices of drugs for children with AIDS are too high that most families cannot afford them- an example of ______ ________.
8.Next best alternative forgone.
9.Money given by the government to increase supply. Causes the supply curve to shift to right.
10.People who buy goods and services.
13.private costs + external costs
14.Quantity producers are willing and able to provide to the market at different prices.

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