Economic Terms
The inability to satisfy all wants at the same time
What is scarcity?
Private ownership of property and resources, profit motive, competition, consumer sovereignty, individual choice, minimal government involvement in the economy
What is Free Market Economy?
A person who takes a risk to produce and sell goods and services in search of a profit; may establish a business according to any of the three types of organizational structures
What is an entrepreneur?
A diagram that is a way of visualizing and categorizing activity within an economy
What is economic flow?
FCC; regulates radio, television, internet, and other means of communication
Factors of production that are used in the production of goods and services
What are resources?
Central ownership of property/resources, centrally-planned economy, lack of consumer choice
What is command economy?
What is a proprietorship?
Consumers own the ________ used in production, sell the resources, and use the income to purchase goods and services.
What are resources?
FDA; regulates food products, medicines, and vaccines
What is the Food and Drug Administration?
Selection of an item or action from a set of possible alternatives
What is Choice?
A form of business organization that is authorized by law to act as a legal entity regardless of the number of on owners. Owners share the profits. Owner liability is limited to the amount of their investment.
What is a corporation?
________ buy resources; make products that are sold to individuals, other businesses, and the government; and use the profits to buy more resources
What are businesses?
EPA; regulates environmental policies
What is Environmental Protection Agency?
What is consumption?
Individuals and businesses are owners and decision makers for the private sector, government is owner and decision maker for the pubic sector, government's role is greater than in a free market economy and less than in a command economy
What is mixed economy?
A type of business with two or more owners to take the risk and equally share the profits
What is a partnership?
When consumers and businesses spend money, the income is used by households to purchase ______ ____ __________ and by producers to purchase resources.
What are goods and services?
SEC; protects money and stocks
What is Security Exchange Commission?
What is production?
The 3 basic questions of economics
What will be produced?
How will it be produced?
For whom will it be produced?
The three types of business organizations
What is proprietorship, partnership, and corporation?
Governments use __________ from consumers and businesses to provide public goods and services.
What is tax revenue?
EEOC; establishes regulations that prevent discrimination in career hiring practices
What is Equal Employment Opportunity Commission?