micro

• consumer - a person or organisation that directly uses a good or service
• good - a tangible product, i.e. a product that can be seen or touched
• government - a political authority that decides how a country is run and manages its operation
• producr - a person, company or country that makes, grows or supplies goods and/or services
• service - an intangible product, i.e. a product that cannot be seen or touched
• production - the total output of goods and services produced by a firm or industry in a time period
• scarce resources - when there is an insufficient amount of something to satisfy all wants
• unlimited wants - the infinite desire for something
• need - something a consumer has to have to survive
• want - something a consumer would like to have, but which is not essential for survival
• economic problem - how to best use limited resources to satisfy the unlimited wants of people
• opportunity cost - the next best alternative given up when making a choice
• economic choice - an option for the use of selected scarce resources
• social sustainability - the impact of development or growth that promotes an improvement in quality of life fo all, now and into the future
• primary sector - the direct use of natural resources, such as the extraction of basic materials and goos from land and sea
• secondary sector - all activities in an economy that are concerned with either manufacturing or construction
• tertiary sector - all activities in an economy that involve the idea of a service
• factor market - market in which the services of the factors of production are bought and sold
• product market - market in which final goods or services are offered to consumers, businesses and the public sector
• exchange - the giving up of something that the individual or firm has, in return for something they wishto have but do not possess
• specialisation - the process by which individuals, firms, regions and whole economies concentrate on producing those products that they are best at producing
• division of labour - where workers specialise in, or concentrate on, one area of the production process
• demand - the willingness and ability to purchase a good or service at the given price in a given time period
• law of demand - for most products the quantity demanded varies inversely with its price
• individual demand - the demand for a good or service by an individual consumer
• market demand - the total demand for a good or service, found by adding together all individual demands
• movement along the demand curve - when the price changes, leading to a movement up or down the existing demand curve
• shift of the demand curve - a complete movement of the existing demand curve either outward (to the right) or inward (to the left)
• subsidy - an amount of money the government gives directly to firms to encourge production and consumption
• tax - a compulsory payment to the government
• elastic demand - when the percentage change in quantity demanded is greater than the perentage change in price
• inelastic demand - when the percentage change in quantity emanded is less that the percentage change in price
• price elasticity of demand - the responsiveness of quantity demanded to a change in the price of the product
• law of supply - for most products the quantity supplied varies directly with its price
• supply - the ability and willingness of firms to provide goods and services at each price in a given time period
• individual supply - the supply of a good or service by an individua producer
• market supply - the total supply of a good or service as a result of adding together all individual producers' supplies
• movement along the supply curve - when the pce changes, leading to a movement up (expnsion) or down (contration) on the existing supply curve
• shift of the supply curve - the complete movement of the existing supply curve either outward (to the right) or inward (to the left)
• elastic supply - when the percentage change in quantity supplied is greater than the percentage change in price