4208519
| Question | Answer |
| A positive statement | A statement about what is. i.e. facts |
| A normative statement | A statement that involves a judgement on what ought to be. i.e. an opinion |
| Scarcity | A situation that arises when people have unlimited wants in the face of limited resources |
| Economic problem | The problem that the wants and needs of the people are unlimited, the resources avaliable to satisfy their wants and needs are finite |
| Opportunity cost | The value of the next best alternative forgone |
| Marginal analysis | Based on considering the marginal benefits and costs of a change in behavior |
| Economic agents | Households, firms and the government |
| Factors of production | Land, labour, capital and entreprenurship |
| Renewable resources | Natural resources that can be replenished |
| Non-Renewable resources | Natural resources that once used cannot be replenished |
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