Term
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Definition
| A central authority decides what is produced and who gets what. |
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Term
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Definition
| Relies on individual self-interest to decide how resources are used. |
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Term
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Definition
The cost of anything is the value of what you can't buy with those same
resources |
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Term
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Definition
the economics applied to households and businesses and their
their interaction in the market (market is simply where buyers and sellers come
together) |
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Term
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Definition
the economics applied to the national economy and government
economic policy |
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Term
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Definition
| market economy is based on ______. Seller's _____ to make a profit. Consumer's _______ to improve their lives. |
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Term
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Definition
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Term
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Definition
Adam Smith- RESOURCES MOVE TO
WHERE THEY ARE HIGHEST VALUED – BY
PRICE – WITHOUT ANY CENTRAL AUTHORITY BEING INVOLVED |
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Term
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Definition
| benefit we get from buying something |
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Term
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Definition
| an additional unit of something falls the more units you are already using. |
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Term
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Definition
people with more income usually purchase more, at any price, than
people with less income |
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Term
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Definition
people with higher income purchase less than people with lower income, second hand
clothes, fast food, and inexpensive vehicles. |
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Term
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Definition
influences on purchases and use
that aren't based on prices and income. Ex: advertising, peer-pressure,
health concerns |
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Term
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Definition
| Past $ amount in Y x (cpi in 2010/CPI in Y year) |
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Term
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Definition
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Term
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Definition
| states where unions are not allowed to require membership |
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Term
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Definition
| states that allow unions to control an industry - that is, they are allowed to require membership |
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Term
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Definition
| ownership of net assets of a company |
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Term
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Definition
| items with limited supply ex. real estate, precious metals, collectibles |
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Term
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Definition
investments easily convertible to cash, like money-market funds and
very short term CDs |
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Term
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Definition
| investments earning a fixed interest rate over a long period |
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Term
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Definition
| diversify investments among all the types |
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Term
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Definition
Try to perceive what stage the economy is in and then
buy the type of investment that does best in that stage |
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Term
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Definition
investments which get a tax break, by having their
interest earnings either not taxed or taxed at a lower rate |
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Term
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Definition
| one owner runs everything |
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Term
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Definition
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Term
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Definition
shareowners own the business; shares can be bought and sold;
shareholders hire a CEO (chief executive officer) to run the corporation |
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Term
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Definition
| limitation on amount of imports |
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Term
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Definition
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Term
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Definition
| the consumer price index plus the producer price index |
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