The U.S. Economy Part I

The United States is a __________ economy.

• Command

• Mixed

• Traditional

• Free Market

This exists when a buyer and seller exchange goods and services.

• a government

• consumer sovereignty

• a market

• demand

Markets are generally allowed to operate without undue interference from the government.

• Free enterprise

• demand

• supply

• consumer sovereignty

This consists of earnings after all expenses have been paid.

• suypply

• demand

• market

• profit

This is rivalry between producers and/or between sellers of a good or service that results in better quality goods and services at lower prices.

• consumer sovereignty

• profit

• demand

• competition

All are characteristics of the U.S. economy EXCEPT:

• Profit motive

• Competition

• Consumer sovereignty

• Private property

• Government ownership of property and resources

Buyers determine what products will be made through purchases they make.

• profit

• consumer sovereignty

• Private property

• supply

The amount of a good or service that consumers are willing and able to buy at different prices during a given time.

• supply

• demand

• profit

• competition

This says that consumers will buy more of a good or service at lower prices and less at higher prices.

• the law of supply

• the law of demand

• the law of profit

• the law of consumer sovereignty

The amount of a good or service that producers are willing and able to offer for sale at each possible price during a given period of time.

• demand

• supply

• profit

• price