Vocabulary

The value of the second-best alternative that a person gives up when making one choice instead of another

1 ©2008. Oklahoma State Department of Education. All rights reserved.

Vocabulary

decision made or course of action taken when faced with a set of alternatives

2 ©2008. Oklahoma State Department of Education. All rights reserved.

Disincentives

©2008. Oklahoma State Department of Education. All rights reserved. 3

Vocabulary

A tool used to choose among alternatives, weighing the cost of a product or service against the benefit(s) it will provide

4 ©2008. Oklahoma State Department of Education. All rights reserved.

Incentive

©2008. Oklahoma State Department of Education. All rights reserved. 5

Cost/Benefit AnalysisRisk/Reward Relationships

©2008. Oklahoma State Department of Education. All rights reserved. 6

Scarcity

©2008. Oklahoma State Department of Education. All rights reserved. 7

Vocabulary

Any reward or benefit that motivates people to do something

8 ©2008. Oklahoma State Department of Education. All rights reserved.

Opportunity Cost

©2008. Oklahoma State Department of Education. All rights reserved. 9

Trade-off

©2008. Oklahoma State Department of Education. All rights reserved. 10

Vocabulary

Giving up a little of one thing in order to get more of something else

11 ©2008. Oklahoma State Department of Education. All rights reserved.

Choices

©2008. Oklahoma State Department of Education. All rights reserved. 12

Vocabulary

An economic condition created by an excess of human wants over the resources necessary to satisfy them; an inability to satisfy all of everyone’s wants

13 ©2008. Oklahoma State Department of Education. All rights reserved.

Vocabulary

A factor or disadvantage that discourages people from doing something

14 ©2008. Oklahoma State Department of Education. All rights reserved.