Term
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Definition
| "a plan for the use of time, money or resources" |
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Term
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Definition
| "expenditures in excess of revenues, particularly government expenditures in excess of tax revenue, financed by borrowing or money creation" |
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Term
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Definition
| "excess of revenue over expenditures, particularly government tax revenues greater than expenditures; may by impounded or used to retire public (national) debt" |
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Term
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Definition
| a basic economic unit; an organization involved in the buying of and hiring of resources to produce a good and/or service with the intention of making a profit for the owner(s) |
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Definition
| "a predictable long-term pattern of alternating periods of economic growth (recovery) and decline (recession), characterized by changing employment, industrial productivity, and interest rates; also called economic cycle" |
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Definition
| a professional who systematically manages the tasks of the business to achieve success |
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Term
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Definition
| "1. one of the factors of production; 2. a man-made resource used in the production of goods and services; includes factories, equipment, machinery, etc.; 3. durable goods used to produce final goods and services; also called capital goods or capital resources" |
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Term
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Definition
| addition to the stock of capital goods; also called capital growth |
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Definition
| "tools, machinery, buildings, etc. used to produce final goods or services; see capital" |
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Definition
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Term
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Definition
| goods made by people and used to produce other goods and services; also called intermediate goods |
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Term
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Definition
| "an economic system based on private ownership of property or productive resources that owners may use to produce goods or services and receive the profits or losses from this use; system characterized by competition, the profit incentive and free markets" |
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Term
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Definition
| interest paid to a business when the firm allows one to purchase goods or services on credit; also called interest or finance charge |
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Definition
| an organization of producers designed to limit competition between members usually by restricting output to raise prices; Example: OPEC is a petroleum cartel. |
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Term
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Definition
| "coins, currency, or the equivalent; Examples: money orders, personal checks, cashier’s checks" |
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Term
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Definition
| the full price one pays for a good or service if one pays with cash; see credit price |
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Term
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Definition
| a written order to a bank to pay a certain amount of money from a person’s account to a business or some other person |
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Term
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Definition
| "a bank, credit union or other financial institution account that is available on demand; the owner of the account writes a check that is treated like currency in the market; Note: Demand deposits—the amount of money deposited in checking accounts—are one component (part) of the money supply." |
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Term
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Definition
| what someone must make when faced with two or more alternative uses for a resource; also called economic choice |
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Term
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Definition
| a model of an economy showing the interactions between households and businesses as they exchange goods and services and resources in markets |
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Term
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Definition
| the government of the local town or incorporated municipality; Example: the government of the City of Lakeland |
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Term
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Definition
| 1. one of the components (parts) of the money supply; 2. a piece of metal stamped with a design and issued to the public to be used as money |
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Term
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Definition
| assets that can be pledged to obtain a loan |
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Term
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Definition
| bargaining by a committee or union (representing the |
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Term
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Definition
| "employees of a business or industry) with an employer or group of employers to arrive at agreements regarding wages, hours or conditions of employment for all employees" |
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Term
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Definition
| a farm owned and operated by the state on which workers are paid wages to produce crops that belong to the state; common in China |
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Term
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Definition
| "an economy in which decisions are made by the government: what goods and services to produce, what productive methods to use, how to allocate resources, how to distribute output and what prices to charge" |
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Term
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Definition
| a group of countries that agree to eliminate all tariffs (or other restrictions) on international trade between each other and to have a common external tariff on all products coming from non-members |
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Term
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Definition
| a financial institution whose main function is to accept deposits and make loans |
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Term
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Definition
| a sum or percentage paid to an agent for his or her services |
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Term
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Definition
| goods produced to satisfy wants |
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Term
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Definition
| economic system in which all productive resources are owned collectively; individuals work for the common good and distribution of output is determined by need |
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Term
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Definition
| to examine for similarities and differences |
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Term
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Definition
| the ability to produce a good or service at a lower |
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Term
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Definition
| opportunity cost than someone else; see absolute advantage |
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Term
| "COMPARATIVE ADVANTAGE, LAW OF" |
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Definition
| "the principle that, given the freedom to respond to market forces, countries will tend to export goods for which they have comparative advantage and import goods for which they have comparative disadvantage and that they will experience gains from trade by doing so" |
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Definition
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Term
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Definition
| the efforts of two or more businesses to secure the consumer's business; techniques used by businesses to gain more customers and to earn higher profits; see rivalry |
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Term
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Definition
| "a market in which there are many buyers and sellers, no barriers to entry, and a homogeneous product" |
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Term
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Definition
| a person or firm which competes with others |
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Term
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Definition
| "goods or services that tend to be used together; Examples: cars and tires, golf clubs and golf balls" |
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Term
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Definition
| interest paid upon money deposited in an account and also on all the interest already earned by the deposit; see simple interest |
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Term
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Definition
| the wise use of natural resources |
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Term
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Definition
| to buy and/or use goods and/or services |
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Term
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Definition
| people or businesses whose wants are satisfied by using goods and services; those who buy and make final use of goods and services |
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Term
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Definition
| "tangible objects—food, automobiles, shoes, etc.—that satisfy consumer wants and/or needs." |
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Term
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Definition
| a measure of the average percentage change in the price |
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Term
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Definition
| "of a set of commodities commonly bought by households, complied mainly by the Bureau of Labor Statistics; also called CPI" |
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Term
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Definition
| "productive acts of labor that do not result in tangible products, but do satisfy consumer wants and/or needs" |
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Term
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Definition
| "the consumer determining the types and quantities of service can provide an incentive to continue producing this good or service. Note: If consumers do not purchase the good or service, there is likely no incentive to produce. " |
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Term
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Definition
| the act of buying and/or using goods and services to satisfy human wants and/or needs |
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Term
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Definition
| "a special form of corporation that differs from normal corporations in that: 1. voting is one vote per member rather than one vote per share; 2. business is conducted primarily with and for the benefit of members Examples: financial cooperatives (credit unions), buyer cooperatives (electricity) and seller cooperatives (dairy farmers)" |
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Term
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Definition
| "chartered by the state, a business that operates as a legal entity separate from its owners" |
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Term
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Definition
| a person who shares the responsibility of the loan with the primary borrower |
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Term
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Definition
| 1. the price of a good or service; the money cost; 2. the value of goods and services that are given up in order to purchase or produce a particular good or service (opportunity cost); 3. the value of goods and services used to produce an output (cost of production) |
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Term
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Definition
| all resources used in producing goods and services for which owners receive payment |
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Term
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Definition
| a type of inflation caused by increases in the cost of producing a product such as increases in the cost of materials or labor or increases in interest rates |
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Term
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Definition
| government of one of the large divisions of a state Example: the government of Polk County |
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Term
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Definition
| "obtaining money, goods or services with a nominal initial payment (called the down payment) with the promise to pay in the future, usually with some additional amount of money (called interest or carrying charge) added to pay for the use of the money" |
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Term
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Definition
| "a card issued by a business, bank or financial institution that allows one to have credit with that business or, if it is a bank card, with many businesses" |
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Term
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Definition
| the maximum amount that a borrower can borrow on a particular loan or credit card |
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Term
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Definition
| the full price one pays for a good or service if one buys it on credit; equal to the cash price plus interest |
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Term
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Definition
| a measure of a borrower's credit worthiness based on the borrower's resources and character |
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Term
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Definition
| a company that gathers information about the credit histories of consumers and provides this information to creditors |
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Term
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Definition
| "a cooperative group that holds savings and makes loans to its members, typically at an interest rate lower than the market rate; checking accounts and other services are also available to members" |
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Term
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Definition
| one to whom a debt is owed by another |
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Term
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Definition
| standards used in making a decision (plural form; singular form is criterion) |
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Term
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Definition
| 1. a component (part) of the money supply; 2. paper bills issued by the government to be used as money |
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Term
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Definition
| a person who buys goods and/or services |
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Term
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Definition
| a purchase card that pays for a purchase by deducting the cost of the purchase directly from a bank account |
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Term
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Definition
| one who owes money to another |
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Term
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Definition
| failure to pay a loan when the payment is due |
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Term
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Definition
| the total price of the product or service plus the finance charge; see credit price |
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Term
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Definition
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Term
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Definition
| a decrease in the general level of prices; causes an increase in the purchasing power (value) of money |
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Term
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Definition
| "a schedule of how much consumers are willing and able to buy at all possible prices during some time period; the quantities of a good, service or resource that consumers are willing and able to buy at a particular time at all relevant prices; usually expressed as a table (demand schedule) or as a graph (demand curve) of quantities of a good or service demanded at different prices" |
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Term
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Definition
| "component (part) of the money supply; a deposit in a financial institution account that may be withdrawn or transferred to another person or business upon demand, for example by writing a check or using a debit card" |
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Term
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Definition
| increase in prices caused by increases in demand; “Too many dollars chasing too few goods.” |
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Term
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Definition
| "statistical characteristics of populations such as age, income, gender, etc." |
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Term
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Definition
| the act of putting money into an account in bank or other financial institution or the sum of money put into a bank or other financial institution at one time |
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Term
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Definition
| the yearly (annual) decline in the value of something |
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Term
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Definition
| "an unusually deep, widespread and prolonged recession or downturn in the economy; The word “depression” has no special meaning different than recession except that it is sometimes used to indicate a particularly severe recession or period of recessions. see recession" |
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Term
| DIMINISHING RETURNS (LAW OF) |
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Definition
| "economic principle stating that if one factor of production is increased while the others remain constant, the overall returns will relatively decrease after a certain point Example: After some point, successive increase in labor added to fixed amounts of land (or capital) will not cause a proportionate increase in output." |
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Term
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Definition
| "a tax levied directly upon an individual or business as opposed to an indirect tax which is levied upon the sale of goods or services; Examples: personal and corporate income taxes, property taxes, inheritance taxes; Note: The burden of both direct and indirect taxes may be shifted through market forces to other parties. " |
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Term
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Definition
| "In a given situation, two factors will respond in the same direction as each other. Example: When the price of tomatoes rises, farmers are willing to grow a larger quantity of tomatoes." |
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Term
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Definition
| interest that Federal Reserve Banks charge banks for the use of money |
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Term
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Definition
| income that is not committed to a particular use and can be used flexibly on whatever someone wants to purchase; income received by households after taxes and other deductions have been made |
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Term
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Definition
| to spend more than one’s current income in any period of time |
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Term
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Definition
| the part of the productive process in which a good is transported to geographical locations where it can be used to satisfy the wants and needs of consumers |
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Term
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Definition
| "the way in which a nation’s total income in the form of wages, rent payments, interest and profits is distributed among its citizens; refers to the degree of equality or inequality of personal income" |
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Term
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Definition
| one who is involved in the process of distribution of goods and services from producer to consumer; |
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Term
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Definition
| "the portion of corporate profits paid out periodically by a business to the owners of shares of stock, expressed as a dollar amount per share of stock" |
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Term
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Definition
| "the process whereby workers perform only a single task or very few steps of a major production task, as when working on an assembly line; the separation of a productive process (making a cake) into various tasks (measuring, pouring, stirring, tending the oven, frosting) to be performed by different workers Note: Specialization and division of labor often result in increased output. see specialization" |
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Term
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Definition
| the initial payment one makes when purchasing something on credit |
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Term
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Definition
| "goods with a long, useful life (automobiles, stoves, furniture) usually defined as a minimum of 3 years Note: Economists usually use this term for “big ticket” items, but not for other less expensive items, such as cassette tapes or CDs. Tapes and CDs may have a very long life but are inexpensive and may be readily discarded when one tires of them." |
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