Economics Vocabulary

When countries rely on each other for resources, goods, or services. 

• Specialization

• Interdependence

• Scarcity

• Trade

The money that each country has, like paper bills and coins

• scarcity

• exchange rate

• currency

• tariff

To swap products with someone

• Trade

• Specialization

• Exchange rate

• Import

When there isn't enough of something

• Embargo 

• Quota

• Specialization

• Scarcity

What does the term "Monopoly" refer to in a business context?

• A partnership between two companies

• A market situation where a single company controls all the supply of a particular product or service

• A government ban on trade with a particular country

• A strategy to reduce prices and increase demand

Stifling competition means:

• Encouraging fair play among competitors

• Providing financial support to small businesses

• Severely restricting or hindering competition

• Promoting healthy rivalry

Complete the sentence below with the correct vocabulary word.

"The ___________ behind supply and demand influence lots of economic decisions."

Trading between countries

• Exchange rate

• Embargo

• International trade

• Voluntary trade

Any action a government uses to control trade between countries

• Trade barrier

• Voluntary trade

• Free trade

• Specialization

When people trade because they both want what the other person has

• Trade barrier

• Voluntary trade

• International trade

• Free trade