Econ Final

_________when the quantity that consumers are willing and able to buy equals the quantity that producres are willing and able to sell.

________a law stating that as the price of a good or service increases the quantity demanded decreases.

__________the condition that results because people have limited resources but unlimited wants.

__________a temporary condition that occurs when demand for goods and services at the current price is very high and quantities are low.

_________date on which the dividend was last paid or which next one will be paid.

_________a law that states that as the price of a good or service increases, the quantity supplied increases.

__________states that the more you get the less satisfaction you begin to get after too much.

__________describes the current situation; how things ARE.

__________describes how things SHOULD BE, or ought to be done.

__________the ability to produce goods/services using fewer resources than someone else.

_________the ability to produce goods and services at a lower opporunity cost than someone else.

__________represents some degree of ownership but doesn't come with the same voting rights as common stockholders.

__________time and price of the last trade made for the stock.

_________dividend per share.

__________a behavior modifier, or something that motivates an individual to behave in a specific manner.

_________a simplified model within a free market that represents the relationship between the resource market and products market.

_________share in the ownership of the company; shareholder.

_________closing price for trading day prior to the last trade reported.

_________low price paid after trading starts; may be higher or lower than closing price of previous day due to orders placed overnight having affect on demand.

__________to provide for the less fortunate members of society in terms of food, shelter, and healthcare.

__________an economy that is stable maintains the goods/services a society relies upon.

Determinants of Supply
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__________the degree to which price changes affect the quantity supplied.

__________1st and oldest type, custom. Dictate what to produce, how, and for whom.

Main Goals: security and stability

Key Characteristics of the U.S.

__________means producing the maximum possible output from available resources.

__________simplified version of reality that allows the analysis of effects of one change at a time.

__________the addition of one more unit of something to the current situation.

_________the study of how people make choices using the scarce resources they have to fulfill their unlimited want/needs.

__________is a system designed to manage limited resources for the production, allocation, and consumption of goods/services.

_________price difference from the current price to the last trade price.

__________stocks currently selling at a low price and considered undervalued.

__________company that makes investments on your behalf in many different securities.

__________the fair and justified distribution of wealth.

_________an economy grows when it produces more and better goods/services.

__________changes in $ have little impact on QS.

-Require a lot of $
- Require Time
-Resources not handy or easily available

__________the degree to which changes in a good's price affect the quantity demanded.

_________all decisions are made by the authoritive power.

Main Goals: equity & security

_________Adam Smith's idea that leads to economic interdependence.

The value of the next best alternative you must pass up...

_______some decisions made today may have consequences in the future.

_________choose something when the benefits outweigh the costs.

_________a large amount of stock, usually more than 10,000 shares.

_________popular name for the Ney York Stock Exchange

__________company profits paid to its stockholders.

_________price you will get if you sell your stock

__________first sale of stock by a company to the public.

_________a socities ability to make economic decisions without the interference of the government.

_________the economy uses its resources to their full potential.

_________changes in $ has little changes in Qd.

-Product is a necessity
-None/Few readily substitutes
-Cost represents small portion of income

Determinants of Demand
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_________all decisions made by the societies individual producers & consumers.

Main Goals: freedom & efficiency

_________results from specialization.

specialization encourages/increases trade

__________the satisfaction we gain from consuming goods/services.

_________=extra satisfaction

_________=total displeasure attained after too much of something.

_________=with each additional unit of consumption, the satisfaction we receive declines.

_________market any "place" where buyers and sellers come together to trade goods/services.

_________one of the 7P. Due to limited resources, choices must be made, you must give something up to get something you really want.

_______common stock of large finacially stable highly respected and established corporation with solid records of dividend payment.

________number of shares of shares traded.

________price you will pay to buy a stock.

_________stocks that move up or down with the sync of business conditions or cycles.

Ex: cars, housing, steel and industrial equipment companies.

The three basic economic questions...

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________small changes in $ has big, opposite change in Qd.

-Product not a necessity
-Have Substitutes
-Product cost represents larger portion of income.

__________small changes in $ cause major change in Qs.
-Products are made easily & quickly
-Made Inexpensively
-Made Using few, readily available resources.

_________all economies have some degree of government & individual decision making.

_________prevent trade among the states such as tariffs.

__________are the scarce resources that go into the process.

________are the goods and services produced using certain resources.

labor + labor + capital =

_________individuals should focus on the one thing they do well and then trade with others for the things the are unable to provide for themselves.

_________aka "market" econ focuses on the choices of individuals, households, businesses.

_________aka national econ focuses on the performance of the economy as a whole.

_________stocks of companies with profits that are increasing quickly; greater than the average price of appreciation.

__________occur when a company distributes additional stock; typically done when price of stock gets too high for regular investor to purchase.

_________the recovery of prices after a decline.

_________the paper ribbon on which a telegraphic printer prints stock quotations.

________basic ownership of a corporation; each share entitles the holder to one vote in the affaires of the company and one vote to elect the board members

_________company profits paid to its stockholders in form of additional stock

_________government regulation that establishes a max price that producers cannot change above.

Protects = Consumers

_________government regulation that establishes a minimum price to be paid.

Protects = Producers

_________a system in which the government decides how to distribute a product (based on policy not price)

___________ = Unfair
-Expensive to put into effect ($$ & time)
-Creates Black Markets: illegally exchange goods at high prices.

_________a price where the demand and supply are in balance. The market will be "cleared" of all surpluses and shortages.

_________when the quantity demanded is no longer equal to the quantity supplied.

Results: Shortages or a Surplus

_________when the quantity demanded at a specific price exceeds the quantity supplied.

_________the organization of a market based mainly on the degree of competition.

________a market structure in which there are:
-many producers
-identical products
-easy entry into the market
-no control over the prices
The most efficient structure.

__________a market structure in which there is:
-one producer
-unique product
-high barriers of entry.

_________a market structure in which there are:
-few producers
-similar products
-high barriers to entry
-some control over prices
Few firms dominate the market.

________a market structure in which there are:
-many producers
-differentiated products
-few barriers to entry
-some control over prices

________a cost of benefit that arises from production or consumption of a good or service that falls on someone other than the producer or consumer.

Product differentiation by...
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_______resources not being used much of the time, remain idle/wasted.

_______an agreement between firms (cartel) to divide the market and set a fixed price vs. price wars.

_________government attempts to prohibit efforts to monopolize markets and rather promote competition where desirable.

________outlawed creation of trust (firm or group of firms that try to monopolize a particular market) restraint of trade & monopolization.

_______est. federal body to help enforce antitrust laws. Consists of 5 full-time commissioners.

_________more strict that SAA, prohibits certain practices not covered by SAA. Allowed government to stop mono before it developed.