Econ- Unit 2 Review

The Law of Demand states that if price increases, then demand:

What payment do producers exchange for the use of labor?

What payments do businesses exchange for Factors of Production

Income earned by a business minus the costs of resources

In the circular flow of economic activity, producers need the following resources to create goods:

Which type of business can produce goods and services most efficiently?

Large corporations have grown in importance because they

business that is separate from its owners and legally acts as a single person

Our free market economy depends on:

Someone who has a new idea and raises money to start a business is called a (n)

Which is the primary cause of the rise of labor unions?

Wage laborers in the 1800s suffered because of

An advantages of a sole proprietorship is that the owner

Type of business which two or more people share ownership

Which type of business has the most risk for its owner?

Stop working unless employers meet certain demands

The Market Price is determined by:

An agreement about wages and working conditions is part of a process called

The Law of Supply states that if price increases, then supply:

process by which representatives of unions and businesses try to reach agreements about wages and working conditions

type of business owned by an individual

The amount of a product that producers are willing and able to offer at different prices

The amount of a product that buyers are willing and able to buy at different prices

What motivates Entrepreneurs to start a business?

refuse to buy a product

Organizations of workers formed to protect members' rights

The payment for use of capital

A person who starts a business

The price at which buyers and sellers agree to trade

Which is NOT an example of how businesses are owned in our economy?