Economics Basics

Items created by nature that are used to create goods and services

His book, The Wealth of Nations, defined market economics for the first time 

That which if given up when purchasing something else

The bank for banks, there are 12 district branches that set interest and reserve rates

The price of money, the charge for using someone else's capital

The monetary value of a property beyond that which is owed on a loan

The condition resulting from unlimited wants with limited resources available

French term for the philosophy that says the government should stay out of the economy

In a market economy these serve to ration scarce resources and motivate production

When one buyer or seller tries to outdo another

Type of economy where things are done the way they have always been done

Economy system where the government makes important decisions regarding the economy

The physical and mental effort required to produce goods and services

America's first Secretary of Treasury, he is considered the father of US economics

Economic system where buyers and sellers interact to determine who gets what

The price at which all product has been sold and demand is fully satisfied

An economic system where the government charges very high taxes and provides many services

The person who assembles the factors of production in hopes of earning a profit

The right to own and use things of value

Economic system which has strong controls on the economy but also private property

The right to buy and sell property free of government control

As prices go up, consumers want to buy less and less of a product

The idea that each successive slice of pizza is worth less and less illustrates the concept of

The study of how people distribute scarce resources

Cuba and China have this type of economic system where everything is owned by the government