Quiz #14 Vocab Flashcards
Industry that experiences decreasing production costs as output rises, usually because increased demand enables more efficient mass production techniques
Decreasing costs industry
Industry that does not experience increasing costs as output rises, usually because this industry uses only a small proportion of the resources they rely on
Constant cost industry
Industry that experiences increases in production costs as output increases usually due to resource prices being bid up by a higher demand
Increasing cost
industry one who attempts to benefit from a public good without paying for it
Free rider
Money paid or income received for which no good or service has been exchanged
Transfer payment
A person or entity deemed suitable to receive loans or other forms of credit
Credit worthy
Regular payments made to someone in retirement
Pension
A stock or any other security that represents ownership
Equity
The ease with which an asset can be turned into money for spending
Liquidity
Gain or profit from the sale of an asset
Capital gains
The profit or yield from an investment
Return
A range or collection of investments held by an individual or organization
Portfolio
Obstacles that prevent new competitors from entering in industry; can include high start up costs, patents, or monopoly power of existing competitors
Barriers to entry
The level of wealth and amount of material goods available to the members of a community
Standard of living
