BSN Exam 1 Review

imports > exports

How many goods someone can buy with them money they have

Producing goods using the least amount of resources

reports price changes at the wholesale level

Resources that contribute to wealth

What determines to produers on how much to produce in a free market?

economy based on a free market, profit, private ownership

when a country is thriving the federal reserve may decide to

most nations today are:

supply > demand

General well being of society

when a large number of firms produce goods that are similar but customers believe there is a difference

advantage of franchise

study of an entire country's economy

general rise in prices

Merger between two or more companies that are involved in totally unrelated business activities.

When we have a shortage prices will...

set of values, beliefs, rules, language, and institutions held by a specific group of people

producing a good more effectively or efficiently than one can produce other goods.

Tax on imported goods

A partner who invests money in a business does not take an active role in managing the operation

prohibit trade with a specific country

Revenue of $500 and expense of $300. What is the profit?

total value of final goods and services produced within a nation's borders in a given year

selling goods to another country

The amount of output per unit

Full responsibility to pay the debts or obligations of a legal entity.

idea that when people try to benefit their own lives, they benefit the economy overall

difference between money flowing in from exports, & money leaving for imports, plus money flows coming from other

tax revenues < gov spending

quantity of a good or service that producers are willing to sell at different price

statistic used to measure the pace of inflation or deflation

Study of a population by age, gender, etc

Key industries are owned by gov and meant for social equality

Joining of two or more companies in the same industry and/or with similar product lines.

tariffs are designed to raise money for the government

Policies pertaining to taxes and gov spending

study of how to increase resoures and create conditions to make better use of resources

a major advantage of corporations

trade not restrained by government interference or regulation

A _______ curve shows the relationship between the price of a good and the quantity people are willing and able to buy

Someone who risks time and money to start a business

use of government regulations to limit the import of goods and services

The invisible hand does NOT support the idea of a free market

Corporate structure in which investors have limited liability; similar to S corp without eligibility requirements.

2 main factors of production

A free market does NOT align with capitalism

owner of a corporation

Favorable government policy is

who manages money supply and interest rates