Vocab
A place to have an interaction between a buyer and a seller to complete a transaction.
What is a Market?
Anything you buy from others or anything you sell to others.
What are Goods and Services?
The first dimension of rule.
What is Persons?
One determinants of Demand.
What is Income, Price of Related Goods, Tastes or Preferences, Expectations, or Number of Buyers?
Used to determine where people fall in terms of “politics”.
What is the Political Spectrum?
A system of interrelated buying and selling activities.
What is Economy?
Products which are bought and used together.
What are complements?
This dimension structures that strengthen/ channel political power.
What is Institutions?
One determinants of Supply.
What is Input Costs, Profit markup/margin, competition in market, or tax burden?
An economy shaped largely by custom or religion. Customs and religion determine what is produced and how, following the idea of “this is the way we’ve always done it.”
What is Traditional Economy?
All resources are government-owned and government-distributed.
There is no government involvement in economic decisions.
What is a Pure Market Economy?
The 3rd dimension of rule.
What is Way of Life?
The economy is made up of the exchanges of ______ or _________.
What is Goods/Services?
Integrates elements of both free market and planned economic systems.
What is Mixed Economy?
Products that can be used as alternatives to one another to satisfy a particular need or want.
A term used in economics to describe responsiveness in one variable to changes in another.
What is elastic?
The 4th Dimension of Rule.
What is Political Community?
If price is fixed BELOW the market-clearing price.
What is Price Ceiling?
The four points of the political spectrum.
What is authoritarian, libertarian, economic left, and economic right?
The loss of potential gain from other alternatives when one alternative is chosen.
What is Opportunity Cost?
Measures the responsiveness of the quantity demanded or supplied of a good to a change in its price.
What is Price Elasticity?
The number of each are ____ U.S President, _____ cabinet members, ______ senators, and ______house of representatives?
What is 1 President, 15 Cabinet Members, 100 Senators, 435 House of Representatives?
If price is fixed ABOVE the market clearing price.
What is Price Floor?
Explain the law of demand and law of supply.
What is as price goes up demand goes down and vice versa, as price goes up supply also goes up and vice verse?