Term
| This is the money available to spend on entertainment and luxury |
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Definition
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Term
| This is the largest form of installment debt in the U.S |
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Definition
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Term
| This is the law of supply |
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Definition
| prices up supply up, prices down supply down |
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Term
| Property used to secure a loan is called |
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Definition
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Term
| The 2 major types of demand are |
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Definition
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Term
| This lending institution gives you credit when you are having credit difficulties |
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Definition
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Term
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Definition
| When prices up demand down, when prices down demand up |
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Term
| This is the most common form of debt in the U.S. |
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Definition
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Term
| List/explain 4 effects on demand |
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Definition
Income-people will buy what they can afford
Consumer expectations-people will buy, spend, demand, according to state of economy
Compliments-products that go together
Subsititutes-cheaper product
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Term
| List a positive and negative when an individual borrows money from finance companies |
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Definition
you have access to a loan
pay very high interest |
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Term
| Why is the U.S. economy considered consumer oriented? |
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Definition
| because 70% of this economy is based on consumer spending |
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Term
| list the 2 major categories of cost |
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Definition
| fixed cost, variable cost |
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Term
| This is added to principal when a person borrows money or uses credit |
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Definition
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Term
| These are 2 ways in which the U.S. government intervnes in the economy |
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Definition
| Use regulation, through subsidies |
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Term
| The amount originally borrowed without the interest |
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Definition
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Term
| What does the market-clearing price on a supply and demand graph tell you? |
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Definition
| where supply and demand meet |
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Term
| This institution gives you credit when you are having credit difficulties |
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Definition
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Term
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Definition
| items you keep for a very long time |
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Term
| These are 2 effects of rising prices on a particular market |
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Definition
| increase production, new entry into the market |
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Term
| Why is the repayment period of a loan sigificant |
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Definition
| it determines how much your going to pay overall |
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Term
| What id the difference between elastic and inelastic demand |
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Definition
Elastic- change in price=change in demand
Inelastic- change in price= no change in demand |
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Term
| difference between elastic and inelastic supply |
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Definition
| With elastic the producer is able to effect production while inelastic cannon effect production |
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Term
| The law of diminishing returns tells us that.. |
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Definition
| The more workers you hire your overall production goes down |
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Term
| How does specialization affect businesses |
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Definition
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