Louisiana’s Riches

Unit 5

Supply

 The amount of goods offered for sale by a business

Demand

 The desire or need for a product or service

Competition

 The efforts of two businesses with the same products or services to get customers to buy from them

Profit

 The amount of money that is left over after all the costs of running a business have been paid

Natural Resource

  Materials from nature Such as wood and stone, that people can use.

Capital Resource



Any good that is used in the production of other goods.



Examples: factories, many buildings ,and equipment

Human Resources

 The persons employed in a business or organization

Government

 A group of elected citizens who solve problems and make laws for a community

Scarcity

 A shortage, or lack of supply, of a product

Abundance

 A great or plentiful amount

Economic Choice

 The choice made among possibilities

Opportunity Cost

 The process of choosing one good or service over another. The item that you don’t pick is the

opportunity cost

.

 Decide between a rabbit or skateboard

Consumer

 A person who buys a product or service

Producer

 Someone who makes a product or offers a service

Trade

 The exchange of one kind of product or service for another

Specialization

 When an individual or a company

specializes

in doing one part of a task, and relies on others to complete the other parts.

Interdependence

 Freedom from the control of another country