What is economics?
What is the term for the money people use to buy goods and services?
Income
This economic system is based on private ownership and free markets.
Capitalism
This type of business is owned and run by one person.
sole proprietorship
What is demand?
demand is the quantity of a good that consumers are willing and able to purchase at various prices during a given time
What is Supply?
To provide something that is needed or wanted
This is the amount of money you pay to buy something.
Price
In this economic system, the government controls most businesses and resources.
Communism
This type of business is owned by two or more people who share profits and responsibilities.
Partnership
When the price of a product goes down, demand usually does this.
Increase
When the price of a product goes up, supply usually does this.
Increase
This is when prices for goods and services go up over time.
Inflation
This system combines private business with some government control.
Mixed Economy
This type of business is owned by shareholders and can sell stock.
Corporation
This law states that as prices rise, demand usually falls.
Law of demand
This law states that as prices rise, supply usually rises.
Law of supply
This is when a person or business buys goods to sell or use later.
Investment
In this system, people trade goods and services without using money.
Barter
This business organization is owned and operated for the benefit of its members.
Cooperative
These are things like income, trends, and population that can change demand.
demand factors
Things like production costs, technology, and taxes can change this.
Supply
This is the money a worker earns for doing a job.
Wages
This economic system relies on tradition and customs to decide what to produce.
Traditional economy
This type of business combines the benefits of a corporation with the simpler taxes of a partnership.
an LLC
When people want more of a product at every price, demand shifts in this direction.
to the right
When producers offer more of a product at every price, supply shifts in this direction.
To the right