Economics Vocabulary
This is someone who makes things or provides services
Producer
Ticketmaster sells tickets to a Harry Styles concert for 1,200 dollars. The government does not limit the prices of the tickets. This is an example of what type of economy?
Market Economy
It can cost around 8 million dollars to buy ad space to have an advertisement play during the Superbowl. How much money would a company have to make in order to make any profit off of a Superbowl ad.
$800,000,001 dollars
This is someone who uses or consumes goods or services
Consumer
The Chinese economy has some private businesses but the government controls the telecommunication industry. This is an example of what type of economy?
Mixed economy
Meta (formerly Facebook) bought Instagram for around $1 billion in cash and stock in April 2012. Instagram generated $20 billion in advertising revenue in 2019. Meta made this ______ by buying Instagram.
Profit (19 billion dollars)
These are two benefits for consumers of competition between businesses
Lower prices
Newer and better products
In North Korea, the government will provide fuel and materials for a factory, while the factory will manufacture products and quantities according to the government's requirements. This is an example of what type of economy?
Command Economy
When NIKE was created they used famous advertisements of Michael Jordan wearing NIKE shoes to make more money than other shoe companies like Adidas. This is an example of _____________
Competition
If it costs 2 dollars to make a cup of coffee and a shop sells the coffee for 5 dollars, how much profit does the shop make?
3 dollars
In the US you can buy food from many different grocery stores but the government provides food stamps to people who can’t afford to pay for groceries. This is an example of what type of economy?
Mixed economy
In New York City, there isn’t a lot of affordable housing. This leads to prices of houses being very high. If there aren’t enough apartments (goods) to buy, that means ________ is low.
Supply
How do prices change in these two situations:
- High demand, low supply
- Low demand, high supply
High demand, low supply --> Prices would go up
Low demand, high supply --> Prices would go down
Venezuelan lawmakers have approved a law change that will make it easier for foreign companies to take part in the country’s oil industry, in a move by Caracas to meet the demands of US President Donald Trump. The reform, backed by acting President Delcy Rodríguez, will open up the Venezuelan oil industry, and allow foreign companies to manage oilfields at their own risk and cost. This move made the Venezuelan economy more like what type of economy?
Market Economy
At the beginning of COVID many stores were out of toilet paper. This means ________ for toilet paper was high.
Demand