Intro to Business Ch1 Discussion Questions Name:Lance Sobaski

1. What is the main difference between a need and a want?

A need is something you need in order to survive ans a want is something that is nice to have but you don’t need

2. How do people satisfy their wants and needs?

People buy food water and some sort of shelter for their needs

They buy phones, Tv’s, computers, and cars for their wants

3. What are the three types of economic resources? Give an example of each type of resource.

1. Natural- Gold

2. Human- Miners

3. Capital- Buildings/Money

4. What is opportunity cost?

The value of the next best alternative that you were not able to choose.

5. List the six steps in the decision-making process.

Define the problem

 Indentify the choices

Evaluate the advantages and disadvantages of each choice

Choose the best alternative

Act on your choice

Review your decision

6. What are the three economic questions?

What goods and services will be produces?

How will the goods and services be produced?

What needs and wants will be satisfied with the goods and services produced?

7. Name the four principles on which the U.S. economic system is based.

Command

Market

Traditional

Mixed
8. How does the price of a product affect demand and supply?

If the price is too high then nobody will want to buy it

9. How is the market price for a product determined?

Prices are effected by the relationship between supply and demand plus competitors.

10. From Discussion #9 question, how do we know what the market price is for a product?

Price tags and advertisements