AP Flashcards
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| 7137696144 | Economics | branch of knowledge concerned with the production, consumption, and transfer of wealth | 0 | |
| 7137701442 | Scarcity | the state of being scarce; shortage | 1 | |
| 7137702224 | Marginal Analysis | an examination of the additional benefits of an activity compared to the additional costs incurred by that same activity | 2 | |
| 7137702225 | Model | a system or thing used as an example to follow or imitate | 3 | |
| 7137702984 | Price Elasticity | is a measure of the responsiveness of demand or supply of a good or service to changes in price | 4 | |
| 7137703260 | Price Discrimination | the action of selling the same product at different prices to different buyers, in order to maximize sales and profits | 5 | |
| 7137703926 | Perfect Competition | the situation prevailing in a market in which buyers and sellers are so numerous and well informed that all elements of monopoly are absent and the market price of a commodity is beyond the control of individual buyers and sellers | 6 | |
| 7137703927 | Efficiency | the state or quality of being efficient | 7 | |
| 7137704530 | Equity | the quality of being fair and impartial or the quality of being fair and impartial | 8 | |
| 7137704902 | Externality | a side effect or consequence of an industrial or commercial activity that affects other parties without this being reflected in the cost of the goods or services involved | 9 | |
| 7137705264 | Positive Externality | is a benefit that is enjoyed by a third-party as a result of an economic transaction | 10 | |
| 7137705665 | Negative Externality | is a cost that is suffered by a third party as a result of an economic transaction | 11 | |
| 7137706115 | Asymmetric Information | deals with the study of decisions in transactions where one party has more or better information than the other | 12 | |
| 7137706457 | Adverse Selection | refers to a situation where sellers have information that buyers do not, or vice versa about some aspect of product quality | 13 | |
| 7137708351 | Moral Hazard | lack of incentive to guard against risk where one is protected from its consequences | 14 | |
| 7137709258 | Signaling | is the idea that one party credibly conveys some information about itself to another party | 15 |