Term
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Definition
| Any human-made resource that is used to create other goods or services |
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Term
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Definition
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Term
| What is an efficient economy |
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Definition
| An economy that uses resources in such a way as to maximize the production or output of goods and services |
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Term
| What does the production possibilities frontiers curve show |
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Definition
| Alternative ways to use an economy's resources |
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Term
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Definition
| All human-made goods that are used to produce other goods and services |
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Term
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Definition
| Ambitious leader who combines land, labor, and capital to create and market new goods and services |
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Term
| What is a mixed economy based on |
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Definition
| Market-based economy in which government plays a limited role |
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Term
| Define a traditional economy |
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Definition
| Economic system that relies on habit, custom, and ritual to decide questions of production and consumption of goods and services |
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Term
| Define centrally planned economy |
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Definition
| Economic system in which the central government makes all decisions on the production and consumption of goods and services |
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Term
| Who owns the factors of production |
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Definition
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Term
| Define Sole proprietorship |
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Definition
| A business owned and managed by a single individual |
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Term
| Define limited partnership |
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Definition
| Partnership in which only one partner is required to be a general partner |
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Term
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Definition
| Stock whose dividends are bosed on market fluctuations |
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Term
| What is a general partnership and how does it work |
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Definition
| Partnership in which partners share equally in both responsibility and liability |
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Term
| How does a company become incorporated |
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Definition
| Seek a charter and register with the state |
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Term
| Define Nonprofit organization |
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Definition
| Institution that functions much like a business, but does not operate for the purpose of generating profits |
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Term
| Define Chamber of commerce |
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Definition
| An association of businessmen to protect and promote business interests |
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Term
| What are the advantages of conglomerates |
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Definition
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Term
| What are Public utilities |
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Definition
| Companies that are without competition |
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Term
| Define simple and compound interest |
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Definition
| Single is payed on initial only, Compound is payed on both initial and previous interest |
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Term
| What are the characteristics of money? |
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Definition
| Duability, portability, divisibility, uniformity, limited supply, acceptability |
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Term
| What are the advantages of a free maket economy? |
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Definition
| Economic efficiency, freedom, and growth |
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Term
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Definition
| Ability and willingness to buy a product |
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Term
| What is marginal utility? |
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Definition
| Satisfaction a consumer enjoys by purchasing one more unit of a product |
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Term
| How is the elasticity of demand determined |
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Definition
| Measure of the way quantity supplied reacts to change in price |
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Term
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Definition
| Economic law that states that consumers buy more of a good |
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Term
| What is the principle of the law of supply |
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Definition
| Tendency of suppliers to offer more of a good at a higher price |
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Term
| What does inelastic mean in the law of supply |
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Definition
| Demand not sensitive to change |
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Term
| What effect does a rise in the cost of a product have |
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Definition
| More expensive to produce |
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Term
| How does new technology affect production |
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Definition
| Price goes down, supply goes up |
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Term
| How do subsidies affect food production in Europe and the U.S. |
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Definition
| To have food in case imports are shut off |
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Term
| Define diminishing marginal returns |
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Definition
| Level of production in which the marginal product of labor decreases |
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Term
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Definition
| Nonprofit bank owned by its members |
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Term
| What are financial intermediaries |
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Definition
| Institution that helps channel funds from savers to borrowers |
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Term
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Definition
| A bond issued by a state of local government |
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Term
| What is a blue chip stock |
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Definition
| Large, well-known company on the NY stock exchange |
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Term
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Definition
| Index that shows how certain stocks have traded |
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Term
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Definition
| The division of a single share of stock into more than one |
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Term
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Definition
| Stock that reinvests its earning into its business |
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Term
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Definition
| Funds that pool the savings of many people and invest in a variety of stock |
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Term
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Definition
| A program requiring work in exchange for temporary assistance |
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Term
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Definition
| Working a job for which one is overqualified |
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Term
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Definition
| Curve that illustrates income distribution |
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Term
| How does the U.S. Census Bureau define family |
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Definition
| Two of more related by birth living in the same house |
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Term
| What is the largest age group living in poverty |
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Definition
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Term
| What are the root causes of poverty |
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Definition
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Term
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Definition
| Agreement that eliminates all tarriffs and barriers |
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Term
| Who are the U.S. main trading partners |
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Definition
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Term
| What country is the world's largest exporter of services |
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Definition
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