Trade
To exchange one item for another item.
What is barter.
The price at which the supply of a certain good meets the demand for a certain good.
What is equilibrium price?
The struggle among producers for consumers' money.
What is competition?
factor that encourages people to behave in a certain way
What is an incentive?
the advantage one gets from a given choice
What is a benefit?
Good or service produced within a country and sold outside the country's borders.
What is an export.
Prices that are in relation to one another in a market.
What is relative price?
A policy that allows businesses to operate with very little interference from the government.
What is laissez-faire?
a negative incentive
What is a penalty?
the outcome or result of making a particular decision; this can be positive or negative
The removal of trade barriers.
What is free trade.
When something is extra
What is surplus?
an economic system developing during the decay of feudalism to unify and increase the power and especially the monetary wealth of a nation by a strict governmental regulation of the entire national economy
What is mercantilism?
a positive incentive
What is a reward?
all the things given up to make a choice
What is a cost?
Something that keeps goods and services from entering a country.
What is a trade barrier?
Too little of a supply to meet demand.
What is a shortage?
a situation in which companies or stores compete with each other by lowering their prices on goods or services in order to attract more customers
What is a price war
A sale or a cash-back reward
What happiness or advantage you are losing by making one choice rather than another
What is an opportunity cost?
The difference, measured in monetary value, between a nation's imports and its exports when the exports exceed the imports.
What is trade surplus?
A price that is set by buyers and sellers in a marketplace.
What is market price?
the ability of consumers to choose goods and services
What is consumer choice?
Positive emotions as a result of buying the product.
What are emotional incentives?
the cost of changing the business to enact the change
What is a fixed cost?