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AN#Co#2011#3#Def
Commerce Topic 3 Definitions 2011
Question | Answer |
---|---|
Business cycle/economic cycle | The tendency of economies to move, over time, through periods of boom and slump. |
Capital | Manufactured resources |
Economic growth | An increase in a country's output of goods and services |
Enterprise | The skills and ability to take risks and create profit |
Entrepreneurship | The skill involved with being an entrepreneur |
Entrepreneur | An individual who takes risks and organises the factors of production |
Exports | Goods, services and capital assets sold overseas |
Financial stability | The consistencey of our financial markets |
Imports | Goods, services and capital assets purchased from overseas |
Inflation | The rise in general prices and the reduction in the value of money. |
Interest rates | The rate at which the reward for giving up use of money. |
Investment | The purchase of capital equiptment |
Labour | The resources provided by people in the production process |
Laissez-fair system | An economic system where the government intervenes as little as possible |
Land | Natural resources such as farmland and fishing grounds |
Market economy | A system where resources are owned by households |
Mixed economy | A society where resources are owned by both private industries and the government |
Price mechanism | The mechanism in which the price of goods and services is changed by supply and demand |
Recession | A period of negative economic growth |
Scarce resources | A lack of resources to meet all consumer needs and wants |
Total output/Gross domestic product (GDP) | A measure of economic activity which includes the total value of all goods and services |
Unemployment | The number of workers without a job who are willing and able to work |
Wage rate | Pay per time period |