Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Chapter 2
| Question | Answer |
|---|---|
| Traditional economy | Based on society's values- customs and traditions |
| Command economy | relys on goverment officials to answer the three basic economic questions |
| market economy | individuals answer the three basic economic questions |
| market | free exchange of goods and services |
| self interest | the impulse that incourages people to fulfill their needs and wants |
| incentive | somemthing that incourages you to bnehave in a particular way |
| mixed economy | combines elements of traditional , markets, and command economic models to answer the basic economic questions |
| authorization socialism | Mixed economies that are closet to the pure command model |
| communism | goverment owns or ocntrols nearly all known factors of production |
| capitalism | individuals own the factors of production and answer the basic economic questions |
| democratic socialism | the government own some of the factors of production |
| free eneterprise | A system which business can be conducted freely with little government intervention |
| private property | goods that are owned by individuals and by businesses rather than by the government |
| contracts | Individuals also have the right to enter agreements with one another to buy and sell goods and services |
| competition | economic rivalry that exist among businesses that are selling the same or similar products |
| voluntary exchange | when producers and consumers unconditionally purchase and sell products and they believe the opportunity cost is acceptable for both parties |
| product market | represents all the exchanges of goods and services in the economy |
| resource market | the exchange of resources between households- individuals like you who the own the factors of production- and business firms and the goverment who are the users of the resources |
| income | money paid to households by business firms and the government in echange for the households resources |
| full employment | lowest possible level of unemployment in the economy |
| price stability | achieved when the overall price level of the goods and services available in the economy is relatively constant |
| standard of living | refers to people's economic well being |
Created by:
simplyrosiie
Popular Economics sets