Econ Flashcards
Traditional Economy
Custom,Traditions, Beliefs
Command Economy
ALL economic decisions made by government
Market Economy
Economic decisions are made based on the changes in prices that occur as buyer & sellers interact in the market place
Mixed Economy
Most democratic countries have some characteristics of both systems so we keep it simple and call them _____
Scarcity
The limited supply of something.
Bartering
The exchange of goods is done through bartering
Free Enterprise
Competition between two or more companies.
Capitalism
an economic and political system in which a country’s trade and industry are controlled by private owners for profit.
Socialism
a political and economic theory of social organization which advocates that the means of production, distribution, and exchange should be owned or regulated by the community as a whole.
Supply and Demand
the amount of a commodity, product, or service available and the desire of buyers for it, considered as factors regulating its price.
Human Resources
the personnel of a business or organization, especially when regarded as a significant asset.
What are the three basic economic questions?
what will be produced, how will it be produced, and how will the output society produces be distributed?
In a command economy, who makes all of the decisions?
the government makes all the major economic decisions.
Most countries are what type of economy?
MIxed Economy
