Term
| Production possibilities frontier (PPF) |
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Definition
| A curve showing the maximum attainable combinations of two products that may be produced with available resources and current technology. |
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| The highest-valued alternative that must be given up to engage in activity. |
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| The ability of the economy to produce increasing quantities of goods and services. |
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Definition
| The act of buying or selling. |
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Definition
| The ability of an individual, a firm, or a country to produce more of a good or service than competitors, using the same amount of resources. |
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Definition
| The ability of an individual, firm, or a country to produce a good or service at a lower opportunity cost than competitors. |
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Definition
| A group of buyers and sellers of a good or service and the institution by which they come together for |
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Term
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Definition
| Markets for goods - such as computers - and services - such as medical treatment. |
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Term
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Definition
| Markets for the factors of production, such as labor, capital, natural resources, and entrepreneurial ability. |
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| The inputs used to make goods and services. |
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| A model that illustrates how participants in markets are linked. |
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Definition
| A market with few governments restrictions on how a good or service can be produced or sold on how a factor of production can be employed. |
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Definition
| Someone who operates a business, bringing together the factors of production - labor, capital, and natural resources - to produce goods and services. |
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Definition
| The rights individuals or firms have to the exclusive use of their property, including the right to buy or sell it. |
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