Chapter 5: Economics Flashcards
1
Q
Economics
A
- Study of the production, distribution, and consumptions of goods and services
2
Q
Economic System
A
- The way a society organizes the production, distribution and consumption of goods and services
3
Q
Economy
A
- The resources and processes involved in the production, distribution and consumption of goods and services
4
Q
Scarcity
A
When land, materials, labour or money are limited
5
Q
Land
A
- All materials found in natural environment that are needed to produce goods
6
Q
Labour
A
- Physical and mental labour needed to produce goods
7
Q
Capatial
A
- Consists of money people us 0r borrow
8
Q
Privately Owned
A
- Part of economy owned and controlled by business and individuals
9
Q
Publicly Owned
A
- Part of economy owned by government and payed for by taxes
10
Q
Market Economy
A
- Privite business own a sell resources
- Consumers choose what to buy
- Relies on supply and demand and competition
- Government does not get involved
Ex. U.S
11
Q
Mixed Economy
A
- Combines private ownership and government control
- Middle
Ex. most European countries
12
Q
Planned Economy
A
- Government owns and manages resources
- Plans what will be produced and deals with scarcity
- Consumers have little influence
Ex. North Korea
13
Q
Public Good
A
- Whats best for society as a whole
14
Q
Shift Left
A
- Moving towards a more planned economy
- Liberals
15
Q
Shift Right
A
- Moving towards a more market economy
- Conservatives
