chapter 4 and 5 voca Word Scramble
|
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
| Question | Answer |
| Demand | consumers are willing and able to buy a good or service |
| law of demand | increase in a goods price causes a decrease in the quantity demanded |
| purchasing power | the amount of money or income that people have available to spend on goods or services |
| income effect | any increase or decrease in consumer's purchasing power caused by change in price |
| substitution effect | the tendency of consumers to sustitute a similar, lowered price product for another product that is relatively more expensive |
| diminsihing marginal utility | as more units of a product are consumed, the satisfication recieved from consuming each additional unit declines |
| demand schedule | shows the relationship between the price of a good or service and the quantity that consumers demand |
| demand curve | plots the relationship between the price of a product and the quantity demanded |
| determinants of demand | A shift in either the D2 or D3 curve means that a different quantity of car stereos is demanded at each and every price |
| substitute goods | goods that can be used to replace the purchase of similar goods when prise rises |
| complementary goods | goods that are commonly used with other goods |
| Elasticity of demand | the degree to which changes in goods price affect the quantity demanded by consumers |
| law of supply | the principle that producers will supple more of a product or service at higher prices but less of a product or service at lower prices |
| profit motive | the desire to make money |
| cost of production | the total cost of materials, labor, and other inputs required in the manufacture of a product |
| supply curve | a graphic representation of a supply schedule, showing the relationship between the price of an item and the quantity supplied during a given time period, with all other things being equal |
| determinant of supply | a nonprice factor that influences the available supply of a good or service |
| tax | a required payment to a local, state, or national gov. usually made on some regular basis |
| law of deminishing returns | the priniciple that as more of one input (such as labor) is added to a fixed supply of other resources (such as capital), productivity will increase up to a point, after which the marginal product will diminish |
| overhead | the sum of a buisness's fixed costs except for wages and the material costs |
| variable costs | a cost of doing buisness that changes directly with a change in the level of output, typincally rising and dropping as production increases and decreases |
| marginal costs | the costs of producing one additional unit of output |
| market failure | a flaw in a price system that occurs when some costs have not been accounted for and therefore are not properly distributed |
| externality | an effect that an economic activity has on people and buisnesses that are niether producers nor consumers of the good or service being produced. Can either be positive or negative |
| public good | any good or service that is consumed by all members of a group, regardless of who has helped to pay for it |
| market equilibrium | the point at which the quantity supplied and quantity demanded for a product are equal at the same prices |
| surplus | a situation in which the quantity supplied of an item at a given price exceeds the quantity demanded |
| shortage | a situation in which the quantity demanded of a good or resource exceeds the quantity supplied |
| price ceiling | a gov. regulation that sets a max. price for a particular good |
| price floor | a gov regulation that sets a min. price for a particular good |
| minumun wage | the lowest hourly rate that an employer legally can pay a worker, as established by federal law |
| rationing | a system by which a gov. or other institution decides how to distribute a good or service; rationing is usually the result of limited supply |
Created by:
DanielleandJerry
Popular Economics sets