Chapter 1
Most companies that sell goods also provide _____ to their customers
Services
(T or F): Scarcity is the amount people demand something.
False
A peak of economic activity is called...
Prosperity
Which legislation protects employees with potential disabilities?
ADA
(T or F) A country can have a positive balance of trade with one country (surplus) and a negative balance of trade (deficit) with another country at the same time.
True
Wants that are shared by many people and paid for by the federal government are called....
Public Wants
In a command economy, resources and businesses are owned and controlled...
The total value of all final goods and services produced in a country in a given year.
GDP
A government agency that sets and enforces work-related health and safety rules.
OSHA
Goods bought from another country are called...
The contest among businesses to win customers is called...
Competition
In a command economy, producers set a price that...
The government or central authority will afford
The result of a government spending more on programs that it collects in taxes is a...
Deficit
The obligation of a business to do what is best for society.
Social Responsibility
A trade barrier where a country taxes the imports in a particular industry (i.e. footwear), this is called a...
Tariff
Competition is possible because companies have the freedom to produce...
Products they think will be the most profitable
A moderate command economy where there is mostly public enterprise but few private enterprises do exist refers to...
Socialism
The 4 phases of the business cycle are.....
Depression, Recession, Recovery, Prosperity
A federal agency that enforces rules that protect the environment and control pollution.
EPA
What are three reasons supporting free trade?
Various answers
For businesses to stay successful, they must offer..... (3 things)
The four factors of production are......
Natural Resources, Labor Resources, Capital Resources, & Entrepreneurial Resources
Governments spend tax revenue on..... (4 things)
Defense, Education, Social Programs, Health Care
How are consumers affected when companies restrict competition?
They have fewer choices in products and pricing
What are three reasons supporting Protectionism?
Various answers