Econ Unit 1 Vocab test

The study of how individuals, businesses, and governments allocate resources to fulfill their needs and wants.

The relationship between the availability of a product or service (supply) and the desire for that product or service (demand), which influences its price.

The measure of how sensitive the quantity demanded of a good is to a change in its price.

The rate at which the general level of prices for goods and services is rising, leading to a decrease in the purchasing power of a currency.

 An economic system in which decisions regarding investment, production, and distribution are based on supply and demand in the market.

The total monetary value of all goods and services produced within a country's borders in a specific time period.

The government's use of taxation and spending to influence the economy.

The fundamental economic problem of having seemingly unlimited human needs and wants, but limited resources to satisfy them.

The value of the next best alternative that must be forgone in order to pursue a different option.

A market structure in which a single company controls the entire market for a particular product or service.