Term
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Definition
| The study of how people, institutions, and society make economic choices under conditions of scarcity. |
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Term
| Define 'opportunity cost'. |
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Definition
| The value of the good, service, or time forgone to obtain something else. |
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Term
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Definition
| The part of economics concerned with the economy as a whole or major components of the economy. |
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Term
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Definition
| An economy which is a mix of the command and market systems. |
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Definition
| One who combines land, labor, and capital to start a new business or product, or manages an existing business. |
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Term
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Definition
| The number of dollars received by an individual or group for supplying resources during some period of time; income that is not adjusted for inflation. |
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Definition
| The market clearing point. Where quantity demanded meets quantity supplied at a particular price. Where the demand curve intersects the supply curve. |
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Term
| Define 'factor/resource market'. |
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Definition
| A market where firms/households sell the Factors of Production (Land, Labor, Capital, Entrepreneurship) and firms buy them. |
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Term
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Definition
| A tax whose average tax rate decreases as the taxpayer's income increases. Poor pay more than the rich. |
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Term
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Definition
| GDP adjusted for inflation. |
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Term
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Definition
| A rise in the general level of prices in the economy. Measured by CPI. |
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Term
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Definition
| Period where GDP declines for 2 consecutive quarters. |
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Term
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Definition
| Many owners, limited liability, unlimited life. |
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Term
| Define 'economies of scale'. |
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Definition
| Reductions in per unit costs that result from increases in the size of production quantities. |
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Term
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Definition
| The total market value of all final goods and services produced within a nation's borders in a given time period. |
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Term
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Definition
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Term
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Definition
| Products of services used to produce other goods. |
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Term
| Define 'labor productivity'. |
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Definition
| Total output / quantity of labor employed to produce it. |
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Term
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Definition
| Consumer Price Index: Index that compares the price of a market basket of consumer goods and services from one period of time to another. Always a percentage. |
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Term
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Definition
| People 16 years of age or older who are not in institutions and are either employed or looking for employment. |
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