Economics AQA AS Level: Micro Keywords. Latest 2022

Economic Activity - Ans-The combination of resources to produce an output of goods or services Resources ( = factors of production) - Ans-Inputs to the production process: land, labour, capital and enterprise Land - Ans-Resources found in the natural environment Labour - Ans-Human inputs to the production process Capital - Ans-Man-made resources Enterprise - Ans-The skill of bringing together other factors of production, spotting gaps in markets and taking risk Scarcity - Ans-Man's unlimited wants and needs in relation to finite resources Production possibility frontier - Ans-A graphical representation of the maximum attainable output from a given stock of resources Opportunity cost - Ans-The cost of making a choice expressed in terms of the next best alternative foregone Value judgement - Ans-An expression of opinion Positive statement - Ans-A statement of fact or testable hypothesis