economics Flashcards
Economic system
is a way that people in a society work together to make and trade things
traditional economy
there is no government so people do business on their own
market economy
where two forces known as supply and demand direct the production of goods and services
command economy
government owns/regulates all aspects of the economy
mixed economy
a mixed economy is a common system in countries like the US, Japan, and most of Europe.
communism
Government owns/regulates all aspects of the economy
socialism
is when the government or a single leader makes decisions they decide what to produce, how much they produce, and what the prices are.
capitalism
is when individuals own and control businesses instead of the government
human resources
humans made them for example:buildings and bridges
scarcity
a short supply of something or not enough
goods and services
people do stuff for other people and make goods
supply and demand
people want the item so they stock up on stuff and people buy
