Chapters 3,4,5
When prices are low, consumers are willing to do ___________.
What is buy more?
limited resources are known as _____________.
What is scarcity?
A book written by Adam Smith.
What is the "Wealth of Nations?"
A business where there is at least one general partner who has unlimited financial liability and decision-making responsibility and at least one partner who does not is known as _____________________.
What is a limited partnership?
When prices are high, consumers are willing to _________________.
What is buy less?
When prices are low, consumers are willing to ________________________.
What is buy more of a good or service?
The value people place on a good or service is known as ______________
What is economic cost?
An economic philosophy commonly held in Europe from 1500 to 1776.
What is mercantilism?
Closed the gaps found in the Sherman Antitrust Act
Clayton Act of 1914
A 1900's economist who wrote "the Value of a good is not determined by the object itself, but rather by the person buying the good or service.
Who is Carl Menger?
If a business raises its price above market equilibrium, the ______________________ will compel the consumer to buy less of a product.
What is "Law of Demand?"
The satisfaction you receive from the choices you make are _____________
What are utils (utility)?
The government is both the central owner and decision maker in all economic affairs of the nation.
What is centralized socialism?
This act made the quasi mergers illegal.
What is the Celler-Kefauver Act of 1914
If a business raises its price above market equilibrium, the __________________ will motivate them to produce more of a product.
What is "law of supply?"
3 Costs (resources) that business firms need to produce/sell their products are:
What is land, labor, and capital
Economists use observations to determine trends in the economy therefore economics is a ____________
What is science?
A transitional economic system bridging the gap between capitalism and socialism.
What is social democracy?
Every contract, combination in the form of a trust or otherwise, or conspiracy, in restraint of trade was now illegal.
What is the Sherman Antitrust Act
Products are exactly the same and they are found in perfect competition.
What are undifferentiated products?
A business has a surplus, to lower that surplus the business can do 4 things.
What are (3 out of 4):1. advertise
2. eliminate substitute goods by driving out competition
3. buy out rival firms
4. persuade the gov't. to forbid foreign competition.
The level of economic study that is concerned with large-scale economic choices and issues.
What is macroeconomics?
A type of economic system that accepts the existence of government but allows it only minimal ownership of resources and decision making.
What is classic liberal capitalism?
This act made it illegal for suppliers to hinder competition by selling at reasonably low prices.
What is the Robinson-Patman Act
A market where there are many sellers of slightly differentiated goods; sellers and buyers are reasonably aware of condition that may affect the market; each seller has some control over hid price; it's relatively easy to enter and exit the market.
What is imperfect competition?