business unit 6 vocabulary Flashcards
disposable income
the level of income a taxpayer has after paying income tax
import tariff
tax on an imported product
import quota
physical limit to the quantity of a product that can be imported
monetary policy
change in interest rates by the government or central bank, such as European central bank
exchange rate appreciation
rise in value of a currency compared to other currencies
social responsibility
when a business decision benefits stakeholders other than shareholders, such as to reduce pollution by using green technology
environment
natural world including pure air, clean water and undeveloped countryside
private costs
the costs paid for by business
private benefits
gains to a business
external costs
costs paid for by society, other than business as a result of business activity
external benefits
gains to society other than business, as a result of business activity
social costs
external costs + private costs
social benefits
external benefits + private benefits
sustainable development
development which doesn’t put at risk the living standards of future generations
sustainable production methods
production methods that do minimum damage to environment
