Basic Principles
Anyone can compete in the market
What is Open Opportunity?
Responsible for Public Disclosure Laws
What is the Government?
General price levels and health of the financial institutions
What are indicators of economic stability?
An example of this would be Bridge Construction
What is a public good?
This government cash program helps retired people
What is Social Security?
A rivalry between sellers for buyers
What is competition?
Join interest groups to influence policy
What is a consumer?
The average length of this is 5.5 years
What is a business cycle?
Examples would be Public transportation; Research and development
What is a positive side effect?
Workers who have been laid off can receive this government benefit
What is Unemployment?
Everyone has the same legal rights
What is Legal Equity?
Protect Property Rights such as the 5th Amendment (Due Process)
What is the government?
The total value of all final goods and services
What is Gross Domestic Product (GDP)?
Examples of this would include water and air pollution
What is a negative side effect?
The government institutes this to improve the lives of the poor.
What is welfare?
People can decide what and when they want to buy
What is Voluntary Exchange?
Make their own choices and tell businesses what they want
What are consumers?
The process used to produce a good or service
What is technology?
An economic side effect of a good or service that generates unintended benefits
What is an externality?
This pays for all government programs
What are taxes?
The KEY incentive in a free enterprise market
What is Profit Motive?
Protect health, safety, and well-being
What is government?
Funding research and offering inventors the chance to make huge profits
What are government incentives for innovation?
Someone who would not choose to pay for a certain good or service but who still gets the benefits
What is a free rider?
The purpose of many government regulations on businesses and products is to limit this.
What is corruption?