supply/demand
something that motivates a person to do something.
incinitive
Tax breaks to encourage consumers to spend on certain items.
tax credits
government incentives that provide money to businesses in order to help them grow and cut costs for the consumer.
subsides
Money awarded to businesses
business grants
Employees receive bonuses for good performance.
Bonuses
Employees can acquire ownership in the business through stock.
stock options
Employees get a portion of the company’s profits.
Profit sharing
Fines, fees, dock in pay, demotions, or tickets.
Negative Incentives
Solar Panels, Electric vehicles, Farming, Pharmaceuticals
Industries/Goods with Incentives
Financial motivations for people to take certain actions.
Economic Incentives
Any structure that allows buyers and sellers to exchange types of goods, services and information.
What is a market?
Market Structure refers to how industries are classified based on their degree of competition for services and goods.
What are Market Structures
Large number of buyers and sellers
Pure/Perfect Competition
Monopolistic competition use non-price competition
Monopolistic Competition
A few very large sellers dominate the industrySome oligopolies will formally agree to set prices
Oligopoly
Only one seller of a particular product dominates the market with at least 75% control
Monopoly
Railway services, electricity grid, gas network
Only one seller of a particular product dominates the market with at least 75% control
A government agency that is the sole provider of a good or service and competition is prohibited by law.
Government Monopoly
Occurs when one company controls manufacturing methods or has the exclusive rights to produce it.
Technology Monopoly
Companies that are considered sporting events or exhibition
Exemption Monopoly
A condition that exists in a local area or region where one company is the sole provider
Geographic Monopoly
The study of how we make decisions in a world in which resources are limited.
What is Economics?
Traditional/Command/Communism/Market/Mixed
Types of Economic systems
Often times this is based on agriculture
Traditional Economy
Government controls the means of production
Command Economy