Basic Economics
This is the study of how people manage resources to meet their needs and wants.
What Economics
This graph shows the relationship between the price of a good and the quantity supplied.
What is supply curve
The amount of money earned before taxes and other deductions are taken out.
What is gross income
This type of investment represents ownership in a corporation
What is stock
The process of planning for future financial needs by setting goals and creating strategies to achieve them.
What is Financial Planning
This term refers to the total amount of money a company makes from selling goods or services.
What is Revenue
This is a market situation where quantity supplied equals quantity demanded.
What is equilibrium
This is the financial plan that outlines expected income and expenses over a certain period
What is budget
This investment type involves lending money to a government or corporation with a fixed interest rate.
What is a bond
This term refers to the process of managing current income and expenses to achieve financial stability.
What is budgeting
The concept that as the price of a good increases, the quantity demanded generally decreases.
What is demand
This term describes a situation where the quantity supplied exceeds the quantity demanded.
What is surplus
The term for funds set aside for emergencies, usually covering three to six months of expenses.
What is an emergency fund
A diversified investment portfolio that pools money from many investors to buy a broad range of assets.
What is a mutual Fund
The amount of money you have to invest in assets like stocks, bonds, or real estate after all debts are paid.
What is net worth
This economic term describes the cost of the next best alternative foregone when a choice is made.
What is opportunity cost
This term refers to the amount by which the quantity demanded exceeds the quantity supplied.
What is a shortage
This type of account typically earns interest and is used for saving money over a longer period.
What is a saving account
This term refers to the profit made from an investment
What is return
This is the type of insurance that provides financial protection in the event of a loss or injury.
What is insurance
The term for the value of goods and services produced within a country’s borders.
What is Gross Domestic Product (GDP)
A shift in this curve to the right indicates an increase in demand.
What is demand curve
This type of loan uses an asset as collateral to secure the loan.
What is a secured loan
The amount an investor earns from an investment in relation to its cost, often expressed as a percentage.
What is Return on Investment (ROI)
This is a strategy where you spread investments across various asset classes to reduce risk.
What is diversification