Unit 1: Scarcity

Having unlimited resources

Having excess production capacity

The condition of not having enough resources to produce desired items

The distribution of wealth in society

At least five months

Money used for investments

Tools or machinery used to produce other products

Goods sold directly to consumers

Products with high monetary value

The monetary worth of an item

The capacity to be useful and provide satisfaction

The scarcity of a product

The transferability of goods

a. Diamonds are more beautiful than water

b. Water is more abundant and less scarce than diamonds

c. Diamonds have more utility than water

d. Water cannot be transferred like diamonds

The accumulation of services

The value of all assets and liabilities

The accumulation of tangible, scarce, utility-related products

The total amount of money owned

Services cannot have value

Services are always more expensive than goods

Services can have value despite being intangible

Services are considered part of wealth