INTR 250C Chapter 1

Question 1

business

Answer 1

an organization whos’ goal is to earn a profit by providing goods and services that satisfy customer needs

Question 2

product

Answer 2

a good, service or idea that provides satisfaction and/or benefits to the customer

Question 3

non-profit

Answer 3

an organization that earns money for fundraising for their product rather than for a profit

Question 4

profit

Answer 4

the difference between the cost to provide a product and what the customer pays for the product

Question 5

stakeholder

Answer 5

a person who invests money into a business or non-profit that benefits from it’s success

Question 6

economics

Answer 6

the study of how resources are distributed for the production of goods

Question 7

factors of production

Answer 7

these are natural resources, human resources/labor, financial resources, and enterprise

Question 8

communisum

Answer 8

“A society in which people own all the nations resources” -Karl Marx

Question 9

socialism

Answer 9

a type of economy in where the state provides some social services, and individuals also own some businesses

Question 10

el capitalismo/free enterprise

Answer 10

a type of economy where all businesses are owned by individuals and the prices, are controlled by supply and demand

Question 11

mixed economy

Answer 11

an economy that has multiple elements of different economy types

Question 12

individuals rights in free enterprise

Answer 12

these are the right to buy and sell property, to keep their profits, to run their business, and to choose their own careers

Question 13

supply

Answer 13

the number of product willing to be sold at a certain price

Question 14

demand

Answer 14

the number of product willing to be bought at a certain price

Question 15

equilibrium price

Answer 15

when supply is equal to demand

Question 16

competition

Answer 16

when the same standard product is offered by multiple businesses to lower the prices

Question 17

pure competition

Answer 17

when many small businesses offer the same product at the most competitive rate

Question 18

monopolistic competition

Answer 18

whenfewer bigger businesses sell one product for a less competitive rate

Question 19

monopoly

Answer 19

when only one business provides a service in a given market

Question 20

inflation

Answer 20

the condition of an economy characterized by rising prices

Question 21

deflation

Answer 21

the condition of an economy characterized by high UNemployment and low prices

Question 22

economic expansion

Answer 22

when people stimulate an economy by spending money, which intern stimulates employment

Question 23

economic contraction

Answer 23

when spending is down and everything else is impacted by that

Question 24

recession

Answer 24

decline in production associated with economic contraction

Question 25

unemployment

Answer 25

when a percent of the population who is searching for work is unable to find work

Question 26

economic depression

Answer 26

when employment and spending are both low in an economy

Question 27

Gross Domestic Product (GDP)

Answer 27

sum of all goods and service produced in a year within a country

Question 28

budget deficit

Answer 28

when a government spends more than it taxes

Question 29

trade balance

Answer 29

the difference between the exports and the imports

Question 30

trade deficit

Answer 30

when imports are greater than exports

Question 31

consumer price index

Answer 31

measures changes in price of goods and services purchased for consumption by a household.

Question 32

per capita income

Answer 32

amount of money earned per person within a country

Question 33

inflation (measurement)

Answer 33

monitors the price increases in consumer goods and services a specified period of time

Question 34

worker productivity

Answer 34

amount of goods and services produced each hour worked

Question 35

standard of living

Answer 35

level of wealth and material comfort available to a person

Question 36

open economy

Answer 36

a economy in which economic activity occurs within and outside of a country

Question 37

agricultural economy

Answer 37

an economy based on the production and exchange of crops and live stock

Question 38

manufacturing economy

Answer 38

an economy based on the production of goods made from other things (often in a factory)

Question 39

service economy

Answer 39

an economy based on other people doing a job or work for someone else (e.g. waiter, Uber driver, Door Dash)

Question 40

technology (Business)

Answer 40

the methods and process in creating APPS to solve problems, perform tasks, and make decisions