1.) How does specialization make us more efficient?
Specialization makes us more efficient because it is better and easier for one person to learn how to do one thing well then learn ho w to do a bunch of things adequately.
2.) What is the difference between the factor market and the product market?
Factor market is when firms and business purchase things from households and product market is when households purchase things from the firms.
3.) What is profit?
Profit is the financial gain made in a transaction.
4.) What are the roles of households and firms in a market economy?
A household is a person or group living in the same residence and a firm is an organization that uses resources to produce a product.
5.) How does competition among firms benefit consumers?
6.) Explain what Adam Smith meant by "the invisible hand of the marketplace."
7.) What is the connection between incentives and consumer sovereignty in a free market economy?
8.) Why is the economy equity difficult o achieve in a free market economy
Specialization makes us more efficient because it is better and easier for one person to learn how to do one thing well then learn ho w to do a bunch of things adequately.
2.) What is the difference between the factor market and the product market?
Factor market is when firms and business purchase things from households and product market is when households purchase things from the firms.
3.) What is profit?
Profit is the financial gain made in a transaction.
4.) What are the roles of households and firms in a market economy?
A household is a person or group living in the same residence and a firm is an organization that uses resources to produce a product.
5.) How does competition among firms benefit consumers?
6.) Explain what Adam Smith meant by "the invisible hand of the marketplace."
7.) What is the connection between incentives and consumer sovereignty in a free market economy?
8.) Why is the economy equity difficult o achieve in a free market economy