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How does the US Government pay for most public goods and services? What is the relationship between opportunity costs and trade-offs?

Economics

Final Exam Study Guide
Unit 1: Know the following terms and be able to answer the following questions
opportunity Cost-
service-
Voluntary Exchange-
Natural Resources-
Market Economy-
Command Economy-
Mixed Economy-
How does the US Government pay for most public goods and services?
What is the relationship between opportunity costs and trade-offs?
What makes an economic decision rational?
Additional Skills needed from this unit: Be able to read a PPC graph and determine the opportunity cost when moving between different points on the graph.


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