Economics Vocabulary 1-45

Human made resources to create goods and services

Inefficent use of resources

A maximum price for a good or service think rent control; New York

When the producer cant satisfy the demand. Ex: Think oil

Chart that lists what is available different prices

Human-made goods to produce other goods

you will keep buying despite price increases Ex;medications such as isulin. easy to replace? no

Skills and knowledge gained by a worker

companies must provide full information about their products

consumers demand more when income increases

A neccessity for survival Ex: food / water

A person who refuses to pay but recieves the benefits

( aka. centrally planned economy) central government makes all economics decisions

An agreement to divide the market set prices or limit production

market in which households purchase goods and services

Releis on habit, custom, or tradition to decide economic questions think: native americans

A formal organization of producers that agree to coordinate prices and production Think: Opec

Combining two firms into a single firm

something created for use by the people like roads and parks

A business organization owned by two or more people who split responsibilities and profits

The exclusive right to sell a good or service

One partner is required to be the general partner

level of economic prosperity

To attract customes through means other than price

the total amount of money collected by a company for goods/ service

Change in output from hiring one or more person

Facts that make it to expensive to compete

total value of all final goods and services in a country in a calender year

amount suppliers is willing and able to supply at a certain price

Actions or activities performed by one person or another

consumers demand less when income increases

income people recieve for supplying factors of production

periods of contraction and expansion

centrally- planned economic system

because consumers have a choice, they decide what is produced

Graph of demand schedule

Discounted prices for certain sections of society Ex: children

Increase in income causes demand to fall people no longer want cheap stuff EX.macroni& cheese

sentive to P

self regulating market place

financial gain from transactions

Limited resources to meet unlimited wants

table that lists quantity of all goods in a market

Gov'ernment should not interfere

Consumers buy more when the price decreases and less when the price increases

Physical objects produced in an economy. Ex: Jeans

government rid to the poor

Economics benefits or cost to someone other than the person deciding how much to produce

Goods used to make other goods

A product that is the same no matter who produces it think : petroleum

Where the price and demand meet that clears the market

Government takes over industries

Monoplies

An agreement to change one price for a product

A tax on the production or sale of a good Think: Gasoline

deals with the government

A desire - Ex: New

amount of good available

ambitious person who combines capital with new ideas

A market which a large number of firms produce the same product - think tomatoes

A legal entity owned by an individual stock holder, shares ownership, unlimited life span

Government programs to protect people from unfavorable economic conditions

Deals with individual / firms

A business owned and managed by a single person

you are very responsive to change in prices Ex: news paper. Easy to replace? yes

Money or valuables belonging to an individuals or business

market economy with government involvement

( aka. free enterprice) decisions made on a voluntary basis by individuals

Study of satisfying needs and wants

an alternative we sacrifice in making a decision

capital assets are own by individuals- creates winners and losers

most desirable alternative that is given up

direct payments of money to poor people. Ex : welfare

two goods brought and used together Think: skis and ski boots

governtment sells industries to others

people can decide what they want to buy and sell

Partners share responsibilities and liabilities

graph showing most efficent use or resources

Show how much is available from all suppliers

All partners are required to be limited partners

microeconomics deals with small units, individuals, families, and businesses

A market structure dominated by a few large firms think: NFL ; airlines

when the price increases consumers buy more of another good

where buyers and sellers meet

deals with entire economics. think GDP

rivalry among sellers Ex : South cobb vs campbell

concentration of production on a limited number of goods and services

suppliers offer more when the price increase

Land, Labor, Capital, and entrepreneurship

goods used in place of one another. think skis or snow boards

Involves only one producer A market dominated by a single seller think : water supply

A market in which a good are sold illegally

Making a product different from similar product think jeans

increase in demand when income increases because people want better stuff Ex; steak

anyone can compete in the market place

A government payment that supports business

A minimum price for a good or service think: minimum wage

the force that encourges people/ organization to improve their material well-being

something that encourges a certain behavior

democratic means should be used to evenly distribute wealth

Desire to own something and the ability to pay for it

The legally bound obligation to pay debt

Change in consumption resulting from change in real income

not very sensitive to P