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Economic Terms
Flash Cards
38
History
8th Grade
02/17/2010

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Term
Interest Rate
Definition
the percentage of a sum of money charged for its use
Term
Income Tax
Definition
a personal tax levied on annual income
Term
Property Tax
Definition
a capital tax on property imposed by municipalities; based on the estimated value of the property
Term
Taxation
Definition
charge against a citizen's person or property or activity for the support of government
Term
Sales Tax
Definition
a tax based on the cost of the item purchased and collected directly from the buyer
Term
Deductible
Definition
an amount that can be deducted (especially for the purposes of calculating income tax)
Term
Down Payment
Definition
a partial payment made at the time of purchase; the balance to be paid later
Term
balance of trade
Definition
Part of the Balance of Payments that records only the commodities transactions of a country with the rest of the world in a specific period.
Term
import
Definition
commodities (goods or services) bought from a foreign country
Term
export
Definition
sell or transfer abroad; "we export less than we import and have a negative trade balance"
Term
capitalism
Definition
an economic system based on private ownership of capital
Term
communism
Definition
a form of socialism that abolishes private ownership
Term
socialism
Definition
a political theory advocating state ownership of industry
Term
Production
Definition
the creation of value or wealth by producing goods and services
Term
Consumption
Definition
the utilization of economic goods to satisfy needs or in manufacturing
Term
capital
Definition
wealth in the form of money or property owned by a person or business and human resources of economic value
Term
labor
Definition
a social class comprising those who do manual labor or work for wages
Term
Opportunity Cost
Definition
cost in terms of foregoing alternatives
Term
Overhead cost
Definition
In business, overhead, overhead cost or overhead expense refers to an ongoing expense of operating a business
Term
Capital goods
Definition
A factor-of-production category consisting of manufactured products used in the process of production
Term
consumer goods
Definition
Items which are used or bought for primarily personal, family or household purposes.
Term
Durable goods
Definition
A measurement of new orders for factory goods. A durable good is any product which is expected to be in service at least three years
Term
Services
Definition
performance of duties or provision of space and equipment helpful to others
Term
Primary economic activity
Definition
using natural resources: farming, fishing, lumbering, mining
Term
Secondary economic activity
Definition
changing natural resources into new products: manufacturing, refining, etc
Term
Tertiary activity
Definition
Term
quaternary activity
Definition
Term
Scarcity
Definition
a small and inadequate amount
Term
Wants
Definition
desired or wished for or sought
Term
needs
Definition
A need is something that is necessary for humans to live a healthy life
Term
Conspicuous Consumption
Definition
buying expensive services and products in order to flaunt your wealth
Term
Tariffs
Definition
The carrier's provisions, including rates, for services performed during the course of moving a shipment.
Term
quotas
Definition
A disk quota is a limit set by a system administrator that restricts certain aspects of file system usage on modern operating systems
Term
embargos
Definition
An embargo is the partial or complete prohibition of commerce and trade with a particular country, in order to isolate it. ...
Term
subsidy
Definition
a grant paid by a government to an enterprise that benefits the public
Term
supply
Definition
The quantity of a commodity that is available to sell
Term
Demand
Definition
requirement
Term
Inflation
Definition
a general and progressive increase in prices
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