Fundamentals of Economics Vocab 1

Front

In this type of economy, the people decide the supply, demand, and price.

Back

Market

Front

This type of economy is passed down through family generations. They learn from their parents to survive through subsistence farming.

Back

Traditional

Front

Which type of economy has central ownership, the government, and lack of individual choice?

Back

Command

Front

Which type of economy is usually paired with a Communist government?

Back

Command

Front

Capitalism is in what type of economy?

Back

Free Market

Front

When customers and business owners exchange products and money, because it will help them both in some way.

Back

voluntary exchange

Front

The amount of money a business makes after its expenses are paid

Back

profit

Front

Focusing on a narrow range of products/services that can be produced most efficiently and cost-effectively.

Back

specialization

Front

Competition and profit motive are important characteristics of a:
- command economy
- traditional economy
- market economy
- socialist economy

Back

market economy

Front

The development of a worldwide economy where resources flow fairly freely across borders.

Back

Globalization