Economics Basics Vocab

When the amount demanded exceed the amount supplied.

A law that controls the way that a business can operate.

Downward and upward movement of GDP around its long-term trend

Refers to how many people want the good.

Which of these is NOT a factor of production?

Buying assests such as stocks, bonds, mutual funds or real estate with the expectation to make more money for yourself.

The difference between the amount earned and the amount spent in buying, operating, or producing something

The central banking system of the USA.

The loss of potential gain from other alternatives when one alternative is chosen.

A general increase in prices and fall in the purchasing value of money.

When the amount supplied exceeds the amount demanded.

Government reduces or eliminates restrictions on industries often with the goal of making it easier to do business.

The total value of goods produced and services provided in a country during one year is Gross Domestic Product (GDP)

When there is not enough of a desired commodity it is called what?

Refers to the amount of goods avilable