Economics Vocabulary

complementary good

• a product often used with another product (like bacon and eggs)

• a product that can replace another product

• a product that is sold at a discount

• a product that is used for the same purpose

industries

• a group of businesses that produce certain goods or services (for example: the car making industry)

• a type of financial market where stocks are traded

• a collection of natural resources used for manufacturing

• an organization that provides educational services

distributed

• given out

• kept in one place

• thrown away

• hidden from view

resources

• all things used in producing goods and services

• only natural materials used in production

• financial assets required for production

• tools and machinery used in manufacturing

operate

• to work or function

• to cease activity

• to confuse or mislead

• to observe quietly

substitute good

• a good that can be used in place of another good (like Dr. Pepper vs. Dr. Thunder)

• a good that is always more expensive than the original good

• a good that has no alternatives available

• a good that is produced in a different country

investment

• putting money into something in hopes of a return

• a method of saving money for future use

• a type of financial risk management

• a strategy for reducing expenses

incentive

• a motivating factor

• a financial penalty

• a neutral outcome

• a random event

opportunity cost

• the option you give up when you make a choice

• the total cost of all available options

• the benefit received from the best alternative

• the cost of production for a good or service

corporation

• A business that is owned by many investors.

• A type of small business run by a single owner.

• A non-profit organization focused on community service.

• A government entity that manages public resources.