Question

p. 6 define \economics\ (dont cut/paste from the margin!!!)
p. 6 reading check: what do people have to do when faced with unlimited wants and limited resources?
p. 7 economics and you: if you were very wealthy, would your resources be unlimited? yes or no? explain.
p. 6 (bottom) analysis: other than individuals, what 2 groups of people have to make economic choices?

Explanation:

1. Economics is the study of how society manages its scarce resources. It involves production, distribution, and consumption of goods and services.
2. When faced with unlimited wants and limited resources, people must make choices about how to allocate resources. This involves trade - offs and opportunity costs.
3. Even if very wealthy, resources are not unlimited. Time is a finite resource for everyone, and there are physical and environmental limits to resources like land and natural resources.
4. Businesses and governments are two groups other than individuals that have to make economic choices. Businesses decide what to produce, how to produce, and for whom to produce. Governments make decisions about public spending, taxation, and regulation.

Answer:

1. Economics is the study of how society manages its scarce resources, including production, distribution, and consumption of goods and services.
2. People must make choices, face trade - offs, and consider opportunity costs.
3. NO. Time is finite and there are physical and environmental resource limits.
4. Businesses and governments.