Chapter 1 Sect. 1
Chapter 1. Sect 2 and 3
Chapter 2 Sect. 1
Chapter 2 Sect. 2
Chapter 2 Sect. 3 and 4
100
The study of how people make choices about ways to use limited resources to fulfill their wants.
What is economics?
100
The value of the next best alternative that was chosen.
What is opportunity cost?
100
A system in which the government controls the factors of production and makes all decisions about their use.
What is command economy?
100
A system in which individuals own the factors of production and decide how to use them within legal limits.
What is free enterprise?
100
A measure of the material well-being of individuals, groups, or nations.
What is standard of living?
200
A basic economic problem that results from a combination of limited resources and unlimited wants
What is scarcity?
200
Three basic factors that determine buyer reaction to changes are
What is Price of the item The income of the average buyer Price of alternative items.
200
The process of freely exchanging goods and services between buyers and sellers.
What is a market?
200
A rivalry among producers or sellers of similar goods and services to win more business.
What is competition?
200
Term used by Karl Marx for his idealized society in which no government is necessary.
What is communism?
300
Deals with the economy as a whole and decision making by large units such as governments
What is macroeconomics?
300
Models show the way people react to changes in the economy.A simplified representation of the real world
What is an economic model?
300
System in which economic decisions are based on customs and beliefs that have been handed down from generation to generation.
What is traditional economy?
300
The desire to make money that motivates people to produce and sell goods and services.
What is profit incentive?
300
A system in which the government owns the major factors of production and attempts to manage output and the distribution of goods
What is socialism?
400
Previously manufactured goods used to make other goods and services.
What is capitol?
400
Sacrificing one good or service to purchase or produce another.
What is trade off?
400
A system of combining characteristics of more than one type of economy.
What is mixed economy?
400
An economic system in which private individuals own the factors of production
What is capitolism?
400
The attempt to balance an economic policy so that everyone benefits fairly.
What is economic equity?
500
Individuals take risks to develop new products and start new businesses in order to make a profit.
What is entrepreneurship?
500
Shows the maximum combinations of goods and services that can be produced with a given amount of resources.
What is production possibilites curve?
500
An economic model that pictures income as flowing continuously between businesses and consumers.
What is the circular flow of income?
500
What is owned by individuals or groups rather than government.
What is private property?
500
A system that supports revolution as a mean to overthrow capitalism and bring about socialist goals.
What is authoritarian socialism?
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