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| 13577618752 | Economics | the study of how people try to satisfy seemingly unlimited wants with limited resources; the study of how society allocates scarce resources | 0 | |
| 13577618753 | factors of production | inputs or resources that go into the production function to produce goods and services: land, labor, capital, entrepreneurship | 1 | |
| 13577618754 | Inputs | Resources such as people, raw materials, energy, information, or finance that are put into a system (such as an economy, manufacturing plant, computer system) to obtain a desired output. Inputs are classified under costs in accounting. | 2 | |
| 13577618755 | Capital | resources (buildings, machinery, and equipment) used to produce goods and services; also called investment goods. | 3 | |
| 13577618756 | Microeconomics | portion of economics concerned with the individual elements that make up the economy; households, firms, government, and resource input prices | 4 | |
| 13577618757 | macroeconomics | the portion of economics concerned with the overall performance of the economy; focused on aggregate demand-aggregate supply relationship, and the resultant output, income, employment, and price levels | 5 | |
| 13577618758 | positive economics | (as opposed to normative economics) is the branch of economics that concerns the description and explanation of economic phenomena. It focuses on facts and cause-and-effect behavioral relationships and includes the development and testing of economics theories. | 6 | |
| 13577618759 | normative economics | (as opposed to positive economics) is a part of economics that expresses value or normative judgments about economic fairness or what the outcome of the economy or goals of public policy ought to be. | 7 | |
| 13577618760 | ceteris paribus | with other conditions remaining the same. | 8 | |
| 13577618761 | fallacy of composition | the error of assuming that what is true of a member of a group is true for the group as a whole. | 9 | |
| 13577618762 | Scarcity | the imbalance between limited productive resources and unlimited human wants | 10 | |
| 13577618763 | opportunity cost | the value of the sacrifice made to pursue a course of action | 11 | |
| 13577618764 | model | a representation of an object or situation that is simplified while including enough of the key features to help us understand the object or situation; economists use the term model instead of theory; models are used to test theories; an applied or empirical representation | 12 | |
| 13577618765 | Production possibilities | the different quantities of goods that an economy can produce with a given amount of scarce resources |  | 13 |
| 13577618766 | constant costs | An industry in which the ratio comparing units produced to production cost per unit remains the same regardless of industry volume or demand growth. This supply-curve equilibrium occurs when input costs do not increase in response to increased demand. | 14 | |
| 13577618767 | law of increasing opportunity cost | the principle that as the production of a good increases, the opportunity cost of producing an additional unit rises. | 15 | |
| 13577618768 | absolute advantage | the ability to produce more of a good than all other producers | 16 | |
| 13577618769 | comparative advantage | the ability to produce a good at lower opportunity cost than all other producers | 17 | |
| 13577618770 | Specialization | production of goods, or performance of tasks, based upon comparative advantage | 18 | |
| 13577618771 | terms of trade | the ratio of an index of a country's export prices to an index of its import prices. | 19 | |
| 13577618772 | Demand | the quantity of a good or service that buyers wish to buy at various prices |  | 20 |
| 13577618773 | law of demand | all else equal, when the price of a good rises, the quantity demanded of that good falls | 21 | |
| 13577618774 | quantity demanded | various amounts along a consumer demand curve showing the quantity consumers will buy at various prices | 22 | |
| 13577618775 | market demand | Market demand is the sum of the individual demand for a product from buyers in the market. | 23 | |
| 13577618776 | Substitutes | two goods are consumer substitutes if they provide essentially the same utility to the consumer | 24 | |
| 13577618777 | Complements | two goods that provide more utility when consumed together than all other producers | 25 | |
| 13577618778 | normal goods | a good for which demand increases with an increase in consumer income | 26 | |
| 13577618779 | inferior goods | a good for which demand decreases with an increase in consumer income | 27 | |
| 13577618780 | supply | Supply is a fundamental economic concept that describes the total amount of a specific good or service that is available to consumers. Supply can relate to the amount available at a specific price or the amount available across a range of prices if displayed on a graph. |  | 28 |
| 13577618781 | law of supply | all else equal, when the price of a good rises, the quantity supplied of that good rises | 29 | |
| 13577618782 | quantity supplied | various amounts along a producer supply curve showing the quantity producers will sell at various prices | 30 | |
| 13577618783 | market equilibrium | exists at the only price where the quantity supplied equals the quantity demanded. Or, it is the only quantity where the price consumers are willing to pay is exactly the price producers are willing to accept. |  | 31 |
| 13577618784 | equilibrium price | price at which the quantity demanded and the quantity supplied are equal (intersect), shelves clear, and price stability occurs | 32 | |
| 13577618785 | equilibrium quantity | quantity demanded and supplied at the equilibrium price | 33 | |
| 13577618786 | business cycle | the periodic rise and fall in economic activity around its long-term growth trend | 34 | |
| 13577618787 | Recession | two or more consecutive quarters of falling real GDP | 35 | |
| 13577618788 | Trough | the bottom of a cycle where a contraction has stopped and is about to turn up | 36 | |
| 13577618789 | recovery | An economic recovery is the phase of the business cycle following a recession, during which an economy regains and exceeds peak employment and output levels achieved prior to downturn. | 37 | |
| 13577618790 | Unemployment | Unemployment is a phenomenon that occurs when a person who is actively searching for employment is unable to find work. ... The most frequently measure of unemployment is the unemployment rate, which is the number of unemployed people divided by the number of people in the labor force. | 38 | |
| 13577618791 | Inflation | an increase in the overall price level | 39 | |
| 13577618792 | economic growth | the increase in an economy's PPF over time | 40 | |
| 13577618793 | supply shock | An unexpected event that causes the short-run aggregate supply curve to shift | 41 | |
| 13577618794 | marginal | additional | 42 | |
| 13577618795 | Utility | Ability or capacity of a good or service to be useful and give satisfaction to someone. | 43 | |
| 13577618796 | aggregate | Gathered into a whole; total | 44 | |
| 13577618797 | 3 Shifters of the PPC | 1. change in resource quantity or quality 2. change in technology 3. change in trade | 45 | |
| 13577618798 | price | monetary value of a product as established by supply and demand | 46 | |
| 13577618799 | cost | the expenses incurred in producing a product | 47 | |
| 13577618800 | command economy | An economic system in which the government controls a country's economy. | 48 | |
| 13577618801 | mixed economy | An economy in which private enterprise exists in combination with a considerable amount of government regulation and promotion. | 49 | |
| 13577618802 | free market economy | an economic system in which decisions on the three key economic questions are based on voluntary exchange in markets | 50 |
