economics and business studies

Factor endowment it is the stock of factors of production
Production it is the output of goods and services.
So, now is clear that the main economic problem is that our needs or wants (the economic term) are growing but at the same time there is a deficiency of resourses.Such situatin involves three concepts, scarcity, choise and opportunity cost.
Wants - everything that we would like to have.
Scarcity it is relationship between how much there is of something and how much of it is wanted.So if we want more than it is possible it is scarce.That is why we must choose how to use our scarce resources.For example, we have a 100 pounds,we could bought new computer or DVD player or may be new clothes,but we can not bought all of them,so we have to make a choise according to the opportunity cost.