1. Intro Key Terms Flashcards
1
Q
FDI
A
Foreign Direct Investment
A Foreign Direct Investment refers to purchase of an asset in another country, such that it gives direct control to the purchaser over the asset.
2
Q
Free Goods
A
Goods that cannot be traded due to abundance
e.g. sand
3
Q
Economic Goods
A
Goods that can be traded
4
Q
Positive Statements
A
Describe facts without any personal judgement
5
Q
Normative Statements
A
A subjective opinion
6
Q
4 Factors of Production
A
Land
Labour
Capital
Enterprise
7
Q
Fiscal Policy
A
The manipulation of money through Government spending and taxation
8
Q
Monetary Policy
A
The manipulation of interest rates and money supply. Done by the BoE
