Vocabulary
point where the supply equals the demand
What is equilibrium point?
stage of business cycle that promotes little confidence in economy, limits spending, increases unemployment (this step of the business cycle can be skipped)
What is depression?
the scientific study of how governments, households or businesses deal with production, distribution and consumption of goods and services
What is Economics?
oversupply of the product; prices are high, purchases are low
What is surplus?
comprised of four stages: Prosperity, recession, depression and recovery
What is Business Cycle?
study of economies as a whole; the “Big Picture”
What is macroeconomics?
undersupply of the product; prices are low, purchases are high
What is shortage?
stage of the business cycle that displays increasing confidence in economy, increased spending and decreasing unemployment
What is recovery?
study of individual economic units such as businesses and households
What is microeconomics?
at a given time the quantity of goods and services sellers are willing to offer at various prices
What is supply?
stage of business cycle that promotes high confidence in economy; increases spending; lowers unemployment; provides numerous jobs; “Business is Good”
What is prosperity?
tangible items purchased to fulfill a desire
What are goods?
at a given time, the quantity of goods and services buyers or consumers are willing to purchase at various prices
What is demand?
stage of business cycle that decreases confidence in economy; reduces spending; increases unemployment
What is recession?
resources used to create a good or service
What are economic resources?