BM Chapter One Vocabulary

The rivalry among businesses for consumers' dollars is

• competition
• quality assurance

• recession

• business

Pure capitalism, in which all economic decisions are made without government intervention is called

• free market system
• communism

• socialism

• democracy

Individuals or organizations who try to earn profit by providing products that satisfy people's needs

• business
• leaders

• managers

• competition

a condition characterized by a continuing rise in prices

• inflation
• democracy

• taxes

• economy

The market structure that exists when there is only one business providing a product in a given market.

• monopoly
• oligpoly

• monopolistic competition

• free market structure

The difference between what it costs to make and sell a product.

First described by Karl Marx as a society in which the people, without regard to class, own all of the nations resources.

The condition in which a percentage of the population wants to work but is unable to find jobs.

The number of products--goods and services--that businesses are willing to sell at different prices at a specific time.

The price at which the number of products that businesses are willing to supply equals theamount of products that consumers are willing to buy at a specific time