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Definition
| the study of how individuals and societies allocate limited resources to satisfy unlimited wants |
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Definition
| A system that coordinates the production, distribution, and consumption of goods and services |
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Definition
| An economic system in which depictions about production and consumption are made by individual procedures and consumers |
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| An economic system in which the government makes all decisions about production and consumption |
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Definition
| rewards/penalties that motivate behavior |
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Definition
| the study of the costs and benefits of doing a little more/less of an activity |
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Definition
| inputs used to produce goods and services , typically categorized as land ,labor, capital, and entrepreneurship |
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Definition
| Natural resources used in production |
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Definition
| human effort, including physical and mental work, used in production |
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Definition
| manufactured goods and tools used to produce other goods and services |
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Definition
| the ability to innovate, take risks, and manage resources to create new products/businesses |
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Definition
| the value of the next best alternative foregone when making a choice |
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Term
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Definition
| the branch of economics that describes and explains economic phenomena without judgement/facts |
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Definition
| the branch of economics that expresses value judgements and opinions about what the economy should be like |
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Definition
| the short-term fluctuations in economic activity, such as growth and contraction |
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Definition
| periods of economic downtown when output and employment fall |
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Definition
| periods of economic upturn when output and employment rise |
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Term
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Definition
| The total quantity of goods and services produced in an economy |
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Term
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Definition
| a general increase in the overall price level |
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Definition
| a general decrease in the overall price level |
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Definition
| An increase in the productive capacity of an economy over time |
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Term
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Definition
| A latin phrase meaning “all other things begin equal” |
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Term
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Definition
| the concept of giving up one thing to gain another |
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Term
| Production Possibilities Curve |
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Definition
| a graph that shows the maximum combinations of two goods that can be produced with available resources and technology |
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Term
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Definition
| when an economy is operating on its production possibilities curve, utilizing all resources effectively |
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Term
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Definition
| concentrating on a limited range of goods/service to increase efficiency |
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Term
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Definition
| the ability to produce a good/service at a lower opportunity cost than others |
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Definition
| The ability to produce more of a good/service with the same amount of resources as others |
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Term
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Definition
| A principle stating that, all else equal, as the price of a good decreases, the quantity demanded increases, etc |
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Definition
| goods that can replace each other ; an incase in the price of one leads to an increase in the demand for the other |
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Definition
| Goods that are consumed together; an increase in the price of one leads to a decrease in the demand for the other |
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Definition
| a good for which demand increases as income rises |
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Definition
| a good for which demand decreases as income rises |
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Definition
| a principle stating that, all else equal, as the price of a good increases, the quantity supplied increases |
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Definition
| resources used in the production of goods/services |
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Definition
| the point where quantity demanded equals quantity supplied |
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Definition
| a situation where quantity supplied exceeds quantity demanded |
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Term
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Definition
| a situation where quantity demanded exceeds quantity supplied |
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Term
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Definition
| a situation where resources are limited relative to wants |
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