EPF Ch 6 Vocab Pt2

an individual�s own personal gain

• self-interest
• incentive
• competition

the hope of reward or fear of penalty that encourages a person to behave a certain way

• invisible hand
• incentive
• competition

the struggle among producers for the dollars of consumers

• invisible hand
• consumer sovereignty
• competition

a term coined by Adam Smith to describe the self-regulating nature of the marketplace

• invisible hand
• consumer sovereignty
• communism

the powers of consumers to decide what gets produced

• communism
• consumer sovereignty
• laissez faire

an economic system in which the government makes all decisions on the three key economic questions

• invisible hand
• command economy
• centrally planned economy

another name for a centrally planned economy

• command economy
• socialism
• communism

a range of economic and political systems based on the belief that wealth should be distributed evenly throughout society

• authoritarian
• socialism
• invisible hand

a political system in which the government owns and controls all resources and means of production and makes all economic decisions

• private property
• consumer sovereignty
• communism

describing a form of government which limits individual freedoms and requires strict obedience from their citizens

• authoritarian
• consumer sovereignty
• communism