Notgrass Economics Terms for second Exam
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| 547488644 | Law of Supply | If all else is constant, as the price for a product or service increases, production will increase. | |
| 547488645 | Determinants of Supply | The factors that a producers considers when deciding what product or service to supply in the market and in what amount to supply | |
| 547488646 | Law of Demand | If all else is constant, when the price of a good or service increase, demand falls. | |
| 547488647 | Law of Supply and Demand | The price of a product or service adjusts to bring supply and demand into balance | |
| 547488648 | Markets | Anywhere a seller offers goods and services and buyers purchase them | |
| 547488649 | Say's Law | Production, or supply, creates its own demand for what is produced | |
| 547488650 | Price | What consumers pay when they buy a good or service and what suppliers receive when they sell a good or service | |
| 547488651 | Price ceiling | A maximum-allowable price set by the government that is below that market clearing price. | |
| 547488652 | Price Floor | A minimum-allowable price set by the government that is above the market clearing price | |
| 547488653 | Reasons Businesses either succeed or fail | Money/Debt | |
| 547488654 | Public Goods | Goods and services that can be used by more than one person at a time | |
| 547488655 | Money | Assets that are immeadiately available for exchange in a transaction | |
| 547488656 | Liquidity | The ease in which an asset can be turned into money | |
| 547488657 | Cause Market Failures | Monopoly, Taxes, Extrenaties | |
| 547488658 | Real Interest Rate | The difference between the nominal interest rates and the rate of inflation | |
| 547488659 | Stagflation | Root cause of inflation | |
| 547488660 | Sole Proprietorship | a proprietorship is a type of business entity which is owned and run by one... | |
| 547488661 | Real Exchange Rate | the rate at which a person can trade the goods and services of one country for the goods and services of another | |
| 547488662 | Price of Labor | wage paid to workers | |
| 547488663 | International Trade | Trade between nations | |
| 547488664 | Closed Shop Laws | Only union members can be hired in certain industries | |
| 547488665 | Business Cycle | recurring fluctuations in economic activity consisting of recession and recovery and growth and decline | |
| 547488666 | Absolute Advantage | the ability to produce more of a given product using a given amount of resources | |
| 547488667 | Factors of production | land, labor, and capital; the three groups of resources that are used to make all goods and services | |
| 547488668 | Earning Income | Working in order to earn money | |
| 547488669 | Supply or Demand Curve Shifts | ... | |
| 549277365 | Inflation | a general and progressive increase in prices | |
| 549277366 | Interest | the price paid for the use of borrowed money | |
| 549277367 | Marginal Analysis | analysis that involves comparing marginal benefits and marginal costs | |
| 549277368 | Securities | All of the investments, including stocks, bonds, mutual funds, options, and commodities, that are traded. | |
| 549277369 | Unemployment | the state of being unemployed or not having a job | |
| 549277370 | Variable Cost | a cost that rises or falls depending on how much is produced | |
| 549277371 | Coroporation | Business that allows people to buy stock in the company | |
| 549277372 | Dead Weight Loss | the reduction in economic surplus resulting from a market not being in competitive equilibrium | |
| 549277373 | Discount Rate | the interest rate on the loans that the Fed makes to banks | |
| 549277374 | Factors that increase trade | More consumers, easy communication, easy and faster transportation, more cost effective production | |
| 549277375 | Functional Distribution of Income | the distribution of income among the factors of production | |
| 549277376 | Influx | a flowing or pouring in; arrival in massive numbers | |
| 549277377 | Multiple Deposit Expansion | Defines how much money will be created by a deposit. Change in Deposits = original deposit amount * (1/reserve ratio) | |
| 549277378 | Mutual Funds | Investment companies that combine the money from a large group of investors to buy stocks and other investments. | |
| 549277379 | Production Possibility | all combinations of goods and services that can be produced from a fixed amount of resources in a given time | |
| 549277380 | Complimentary Goods | goods that are a completion of one another; ex peanut butter and jelly, body wash and a loofah | |
| 549277381 | Derived Demand | the demand for business products derives from the demand for final consumer products | |
| 549277382 | Dividend | that part of the earnings of a corporation that is distributed to its shareholders | |
| 549277383 | Economic Profit | total revenue minus total cost, including both explicit and implicit costs. | |
| 549277384 | Fiat Currency | a type of currency that's only valuable by legal decree | |
| 549277385 | Fractional Reserve Banking | a banking system that keeps only a fraction of funds on hand and lends out the remainder | |
| 549277386 | Open Market Operations | The buying and selling of Treasury Securities by the Federal Reserve in order to control the money supply | |
| 549277387 | Price Elasticity of Demand | a measure of how much the quantity demanded of a good responds to a change in the price of that good, computed as the percentage change in quantity demanded divided by the percentage change in price | |
| 549277388 | Small Business | a company that is independently owned and operated | |
| 549277389 | Stock Market | A system for buying and selling shares of companies | |
| 549277390 | Trade Restrictions | Tariffs and quotas restrict the amount of a good imported and supply will decrease | |
| 549277391 | Capital Gains | The difference between a higher selling price and lower purchase price, resulting in financial gain for seller | |
| 549277392 | Comparative Advantage | the ability to produce a good at a lower opportunity cost than another producer | |
| 549277393 | Currency Exchange Rate | the price of one country's currency expressed in terms of another country's currency |
