U.S. Semester 2 Unit 1 Vocab

What does Gross National Product (GNP) measure?

• The total value of goods and services produced by a country during a year

• The total value of goods and services produced by a company during a year

• The total value of goods and services imported by a country during a year

• The total value of goods and services exported by a country during a year

What is the principle of laissez-faire?

• A policy that government should interfere as much as possible in the nation’s economy

• A policy that government should interfere as little as possible in the nation’s economy

• A policy that government should control all businesses in the nation’s economy

• A policy that government should only interfere in international trade

Who is an entrepreneur?

• One who invests money into a company

• One who organizes, manages, and assumes the risks of a business or enterprise

• One who provides raw materials for production

• One who works as an employee in a company

What does the term "practice" refer to in this context?

• To do something repeatedly so it becomes the standard

• To create a new business model

• To invest in a new company

• To develop a new product

What is a land grant?

• A grant of land by the federal government, especially for roads, railroads, or agricultural colleges

• A grant of land by private companies for residential development

• A grant of land by state governments for commercial use

• A grant of land by international organizations for conservation

What does it mean to integrate?

• To separate two previously combined things

• To combine two previously separate things

• To invest in two different companies

• To create a new product from two existing ones

What is a corporation?

• An organization that is authorized by law to carry on an activity but treated as though it were a single person

• A small business owned by an individual

• A non-profit organization

• A government agency

What are economies of scale?

• The reduction in the cost of a good brought about especially by increased production at a given facility

• The increase in the cost of a good due to high demand

• The reduction in the cost of a good due to decreased production

• The increase in the cost of a good due to limited resources

What is a monopoly?

• Total control of a type of industry by one person or one company

• Partial control of a type of industry by multiple companies

• No control of a type of industry by any company

• Shared control of a type of industry by the government and private companies

What is a trust?

• A combination of firms or corporations formed by a legal agreement, especially to reduce competition

• A single firm controlling an entire industry

• A non-profit organization

• A government agency