Section 2 Flashcards
1
Q
What is a private good?
A
A product which is both rival and excludable.
2
Q
What is a monopoly?
A
A single seller.
3
Q
What is price fixing?
A
When two or more firms agree to sell a product at the same price.
4
Q
What is a mixed economic system?
A
An economy in which both the private and public sectors play an essential role.
5
Q
What is rationing?
A
A limit on the amount that can be consumed.
6
Q
What is a lottery in economic terms?
A
The drawing of tickets to decide who will get the products.
7
Q
What is nationalisation?
A
Moving the ownership and control of an industry from the private sector to the government.
8
Q
What is a public corporation?
A
A business organisation owned by the government which is designed to act in the public interest.
