Intro To Business Chapter 2

Front 1

Economics

Back 1

The study of how society chooses to employ resources to produce goods and services and distribute them among various competing groups and individuals

Front 2

Macroeconomics

Back 2

The part of economics study that looks at the operation of a nation's economy as a whole

Front 3

Microeconomics

Back 3

The part of economics study that lookds at the behavior of people and organizations in particular markets

Front 4

Resource Developement

Back 4

The study of how to increase resources and to create the conditions that will make better use of those resources

Front 5

Invisible Hand

Back 5

A phrase coined by Adam Smith to describe the process that turns self-directed gain into social and economic benefits for all.

Front 6

Capitalism

Back 6

An economic system in which all or most of the factors of production and distributuion are privately owned and operated for profit.

Front 7

Supply

Back 7

The quantity of products that manufacturers or owners are willing to sell at different prices at a specifice time.

Front 8

Demand

Back 8

The quantity of products that people are willing to buy at different prices at a specific time

Front 9

Market Price

Back 9

The price determined by supply and demand

Front 10

Perfect Competition

Back 10

The market situation in which there are many sellers and no seller is large enough to dictate the product price

Front 11

Monopolistic Competition

Back 11

The market situation in which a large number of sellers produce similar products, but are perceived as different by consumers

Front 12

Oligopoly

Back 12

A form of competition in which just a few sellers dominate the market

Front 13

Monopoly

Back 13

A market in whcih there is only one seller for a product or service

Front 14

Socialism

Back 14

An economic system based on the premise that basic businesses should be owned by the government, and profits evenly distributed among the people

Front 15

Brain Drain

Back 15

The loss of the best and brightest people to other countries

Front 16

Communism

Back 16

An economic and political system in which the government makes all economic decisions

Front 17

Free-Market Economics

Back 17

Economic systems in which the market largely determines what gets made and who gets it

Front 18

Command Economics

Back 18

Economic systems in wheic the government decides what gets made and who gets it.

Front 19

Mixed Economics

Back 19

Economic systems in which some allocation of resources is made by the market and some by the government

Front 20

Gross Domestic Product (GDP)

Back 20

The total value of goods and services produced in a country in a given year

Front 21

Unemployment Rate

Back 21

The number of civilians at least 16 years old who are unemployed and tried to find a job within the prior 4 weeks

Front 22

Inflation

Back 22

A general rise in the prices of goods and services over time

Front 23

Disinflation

Back 23

A situation in which price increases are slowing

Front 24

Deflation

Back 24

A situation in which prices are declining

Front 25

Consumer Price Index (CPI)

Back 25

Monthly statistics that measure the pace of inflation/deflation