Details Title: Ch 2 Description: Honors Total Flash Cards: 12 Created: 02/04/2009 16:07:52		New Users: To study from this flashcard set, or to create your own your own study flash cards, REGISTER HERE. Existing Users: CLICK HERE. Additional Economics Flashcards
Cards in this set: Term economic system Definition an organized need of providing for wants and needs of society Term traditional economy Definition economic system in which basic economy activity stems from ritual, habbit, or custom Term command economy Definition desicions are made by central authority Term market economy Definition basic economic desicions are made by people and firms acting in their own best interest Term market economy advantage Definition relatively small degree of gov interference Term economic efficiency Definition an economic goal that is based on the deire of people to use resources wisely Term price stability Definition an economic goal that is based on preventing inflation Term social security Definition a federal program of disability and retirement benefits Term economic freedom Definition en economic goal that is based on the desire of people to make their own desicions Term capitalisim Definition economic system in which private citizens own factors of production Term profit move Definition the driving force that encourages people and organizations to improve their matierial and well being Term voluntary exchange Definition a charecteristic of capitalisim in which buyers and sellers feely and willlingly engage in market transactions