The basic economic problem results from scarcity.

The economic system in the United States is called capitalism.

A producer is a person who buys and uses goods and services.

Market price is the point where supply and demand are at their highest points.

GDP includes the value of work you do for yourself.

People are considered to be “unemployed” if they are looking for work, willing to work, but unable to find a job.

The demand for goods and services is high during times of prosperity.

Deflation is a period where demand for most products is less than supply.

Stocks represent ownership in a corporation.

The United States conducts trade with more than 180 countries.

Comparative advantage exists when a country can produce a good of service at a lower cost than other countries.

The balance of payments is the value of a currency in one country compared with the value in another.

Balance of payments is the difference between the amount of money that comes into a country and the amount that goes out of a country.

The exchange rate is the value of currency in one country compared with the value in another.

Under a free-trade agreement, member countries agree to remove duties and trade barriers on products traded among them.

Licensing is selling the right to use a trademark or brand name for a fee or royalty.

Social responsibility refers to the duty of a business to contribute to the well-being of a community.

Clauses in a labor contract that relate to employee well-being are called right of work clause.

All public utility companies are owned and operated by state governments.

Interstate commerce is business dealings involving companies in more than one state.

Intrastate commerce is business dealings within one state.

Antitrust laws promote competition and discourage monopolies.

The means through which goods and services are produced are called

When you give up something to have something else, you are making a(n)

A mixed economy combines the elements of

Capitalist economies do not have much

The quantity of a good or service that businesses are willing and able to provide is called

Which of the following would be included in a measure of GDP?

About how many people are employed in the United States?

All of the following are characteristics of a depression EXCEPT

The interest rate banks make available to their best business customers is called the

The result of a government spending less than it takes in is

Items bought from other countries are called

The difference between a country’s total exports and total imports is called the

Infrastructure refers to a country’s

The right to use a company name or business process in a specific way is called a

This group was created in 1995 to promote trade around the world.

Requiring employees to wear hardhats in certain parts of a factory is a way a business can contribute to

A set of rules guiding the actions of employees is called a(n)

For a contract to be valid, something of measurable value must be exchanged by the parties involved. This is the principle of

A patent gives the inventor the sole right to make, use, or sell the item for

The tax levied on goods and services that is collected by the seller is called

The production output in relation to a unit of input.

A decrease in the general level of prices.

Completely prohibiting the import or export of a product.

Those who buy and use goods and services.

A tax that a government places on certain imported products.

Those who determine which products and services will be available for sale.

Saving scarce resources.

An increase in the general level of prices.

A number that compares prices in one year with some earlier base year.

A ____ is a natural resource that cannot be replaced when used up.

_____ are activities provided for the satisfaction of others that are consumed at the same time they are produced.

_____ occurs when a country buys more than it sells.

Business dealings involving companies that do business in only one state.

Business dealings involving companies that do business in only one state.

_____ occurs when the environment is tainted with the by-products of human actions.

_____ are things that are required in order to live.

_____ are products that you can see and touch, as well as purchase to meet our wants and needs.

____ occurs when a country sells more than it buys.

_____ includes salaries and wages, as well as investment income and government payments to individuals.