Social Studies Chapter 5

a place where buyers and sellers freely exchange goods and services

• market

• trade post

• market economy

• competition

when two or more businesses sell the same goods and services in the same market

• market

• price incentive

• competition

• market economy

the amount of money that is exchanged for a good or service

• exchange

• price

• market

• private means

how people act in certain situations

• emotions

• behavior

• economic strategy

• price incentive

an extra benefit that encourages someone to take a certain action

• price incentive

• behavior

• market

• competition

an economic system where goods and services are exchanged for money based on voluntary exchange between consumers and producers

• market

• supply

• market economy

• price

the amount of goods and services that are available for purchase in the market at a particular price

the amount of goods or services that will be purchased in the market at a particular price

Why is the United States market economy a private business?

• the government does not own it

• there are no markets

• people have to go to the government for business

• businesses stay private so there are no customers

A business is ___ when only the owners make decisions and not the government.

• a market economy

• state-controlled

• private

• public