Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
10 Cards in this Set
- Front
- Back
|
Law of demand |
The law of demand states that other factors being constant (cetris peribus), price and quantity demand of any good and service are inversely related to each other. When the price of a product increases, the demand for the same product will fall.
|
|
|
Quantity demand |
Quantity demanded is a term used in economics to describe the total amount of goods or services demanded at any given point in time. It depends on the price of a good or service in the marketplace, regardless of whether that market is in equilibrium. |
|
|
Factor market |
factor market is a marketplace for the services of a factor of production. A factor market facilitates the purchase and sale of services of factors of production, which are inputs like labor, capital, land and raw materials that are used by a firm to make a finished product. |
|
|
Product market |
The marketplace in which a final good or service is bought and sold. A product market does not include trading in raw or other intermediate materials, and instead focuses on finished goods purchased by consumers, businesses, the public sector and foreign buyers. |
|
|
Law of supply |
Law of supply states that other factors remaining constant, price and quantity supplied of a good are directly related to each other. In other words, when the price paid by buyers for a good rises, then suppliers increase the supply of that good in the market. |
|
|
Circular flow |
The circular flow of income is a neoclassical economic model depicting how money flows through the economy. In the most simple version, the economy is modeled as consisting only of households and firms. Money flows to workers in the form of wages, and money flows back to firms in exchange for products. |
|
|
Equilibrium |
a situation in which supply and demand are matched and prices stable. |
|
|
Barter |
exchange (goods or services) for other goods or services without using money."he often bartered a meal for drawings"synonyms: trade, swap, exchange, sell"they bartered grain for salt" |
|
|
Quantity supply |
Quantity supplied is the amount of a good that sellers are willing to sell and are able to sell. Willingness is generally a function of price. |
|
|
Medium exchange |
anything generally accepted as representing a standard of value and exchangeable for goods or services |
