Trade
The ability to make things cheaper, faster, more efficiently than other producers
What is absolute advantage?
Goods that are used in producing other goods
What are capital goods?
An economic system in which the government controls all economic decisions
What is a command economy?
The ability to produce goods and services at lower opportunity cost than any other producer.
What is comparative advantage?
Goods that are bought and used by consumers.
What are consumer goods?
This type of interest
What is compound interest?
Because other countries can produce goods at lower costs.
Why trade?
This reduces the number of imports and increases the price of imports.
What is a tariff?
Economic Freedom, economic efficiency, economic equity
What are broad economic goals of a market system?