-
goods
tangible products that we use to satisfy our wants and needs
-
sevices
- work preforemed by a person for someone else
- (haircuts, entertainment, home repairs)
-
factors of production
- resources necessary to produce goods and services
- (tree, truck, cut tree, sell paper)
-
natural resources
- gifts of nature tha tmkae production possible
- (land, animals)
-
Labor
- human effort directed toward producing goods and services
- (farmers, truckers, carpenters, electricians)
-
capital
- previously manufactured goods used to make other goods and services
- (tools, hammers, machines)
-
entrepreneur
- individual who starts a new business
- (inventer)
-
GDP
total dollar value of all final goods and services produced in a country during a single year
-
Standard of living
- the material well being of an individual measured by how well thier necessities and luxuries are satisfied
- (high GDP=high ---)
-
Factor markets
- a market where productive resources are bought and sold
- (labor, work, office)
-
Product markets
- a market where producers offer goods and serivces for sale
- (grocery store, mall)
-
Consumer Sovereignty
- the role of consumers as the rulers of the market, determining what products will be produced
- consumer=king
-
Profit
the money a business recieves for its services above its costs
-
Voluntary Exchange
the act of buyers and sellers freely and willingly engaging in market transactions
-
Discretionary Income
- money income left after necessities have been bought and paid for
- (extra money: movies, vacation)
-
disposable income
- money income left after all taxes on it have been paid
- (basic needs: food, rent, clothes)
-
consumerism
- a movement to educate buyers about the purchases they make
- to demand better and products from manufacturers
|
|
