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Economics
Term | Definition |
---|---|
scarcity | limited quantities of resources to meet unlimited wants |
trade-off | the act of giving up one benefit in order to gain another benefit |
opportunity cost | the most desirable alternative given up as the result of a decision |
supply | the quantity of something that producers have available for sale |
demand | the quantity of a good or service that consumers are willing and able to buy |
market | buyers and sellers of a particular good or service |
equilibrium price | the price at which the amount producers are willing to supply is equal to the amount consumers are willing to buy |
goods | physical objects such as clothes or shoes that are produced |
services | actions or activities that one person performs for another |
import | goods or services brought into a country from abroad for trade |
export | goods or services sent out of a country for trade |
specialization | the development of skills in a specific kind of work |
market demand | the demand by all the consumers of a given good or service |
industry | processing of raw materials and manufacture of goods in factories |
macroeconomics | the study of the economy as a whole and is concerned with large-scale economic activity |
microeconomics | the study of the economic behavior and decision making of small units, such as individuals, families, and businesses |
equilibrium price | the price at which the quantity demanded equals the quantity supplied |
commercial | having to do with business or trade |
consumers | buyers of a good or service |
producers | a person, company, or country that makes, grows, or supplies goods or services for trade |
currency | money |
free enterprise | a type of economy in which people are free to buy, sell, and produce whatever they want |
raw materials | natural products used in production |
natural resources | materials such as minerals, forests, water, and fertile land that occur in nature and can be used for economic gain |