If a business firm's costs rise, it must do what to the quantity of what it supplies at the same price
What is decrease the quantity?
A change in price results in this
What is a change in quantity supplied?
One way suppliers respond to a shortage is by discouraging this, though many companies do not choose this option
What is demand?
This type of approach relies more on human labor
What is a labor intensive approach?
This term is is the amount of goods and services that business firms are willing and able to provide at different prices
What is supply?
Economic growth refers to an increase in the quantity of these two things
What are goods and services?
This is what it is called when the production of more goods or services is done by using existing factors of production with greater efficiency
What is intensive growth?
These lead to shortages when they are set below the market equilibrium point
What are price ceilings?
This type of economic event occurs because the supplier increases prices and production of a product but buying goes down
What is a surplus?
This is what it is called when there is the production of more goods and services because business firms are using more land, labor, or financial capital
What is extensive growth?
Clothing is an example of this type of good
What is a consumer good?
This type of approach relies more on automated equipment
What is a capital intensive approach?
This law states that
1) the higher the price buyers are willing to pay, the greater the quantity of a product a firm will produce
2) the lower the price buyers are willing to pay, the smaller the quantity of a product a firm will produce
What is the law of supply?
A shortage occurs when demand is greater than this
What is supply?
Farm equipment is an example of this type of good
What is a capital good?
These programs provide training and education to enable those out of work to get back on their feet and stay there
What is workfare?
These are costs that are associated with surpluses
What are carrying costs?
Libertarian fairness also goes by this harsh name
What is Economic Darwinism?
This is the price at which consumers are willing to take from the market the exact quantity of a product that suppliers are willing to put into the market
What is the market equilibrium price?
These two laws find themselves at odds with one another
What are the law of supply and the law of demand?
This type of economy sees private individuals make the decisions that answer the major economic questions
What is a market economy?
These are the three possible solutions to eliminating a surplus
What are increasing demand, decreasing supply, and allowing the market to work and fix things?
These are the four primary economic goals of every society
What is a low level of unemployment, a stable price level, a healthy rate of economic growth, and a fair distribution of income?
These are the three questions that national economic decision makers must answer
What are
what will the nation produce?
how will the nation produce its goods?
who will receive what the nation produces?
This type of economy has a powerful individual or committee at the top that makes all the economic decisions for those below them and answers the main economic questions
What is a command economy?