Econ Chapter 2

Systems require absolute obedience to those in power

The rights of individuals and groups to own businesses and resources

A French phrase meaning “leave things alone.”

An economic system in which the government makes all economic decisions

Economic system in which individual choice and voluntary exchange direct economic decisions

Means to change from private ownership to government or public ownership

Economic system in which families, clans, tribes make economic decisions based on customs  

Refers to all the economic interactions that cross international boundaries

Market where goods and services are bought and sold.

A financial gain that a seller makes from a business transaction

System where the government owns all the factors of production and there no political freedom.

An _________is the way a society uses resources to satisfy its people’s wants.

Who wrote the wealth of nations?

Any place where people buy and sell goods and services

A system in which the society’s leaders make all economic decisions 

Economic system in which the government owns some or all of the factors of production

Economy that has elements of traditional, command, and market systems

System that is based on private ownership of the factors of production.

Exchange where both believe that what are getting is worth more than what they are giving up

Market for the factors of production—land, labor, capital, and entrepreneuship

Means to change from government or public ownership to private ownership