Mr. Ostman

Students in Economics Class are responsible for knowing the following economic terms. These are defined in the reading of the text book but can be defined by other means online. Refer to the economic links.

Chapter 1 Terms

economics
economist
microeconomics
consumer
producer
good
service
resource
factor of production
natural resources
human resources
capital resources
capital goods
consumer goods
technology
entrepreneurship
entrepreneur
scarcity
allocate
productivity
efficiency
division of labor
specialization
trade-off
opportunity cost
production possibility curve
exchange
barter
money
credit
value
utility
self-sufficiency
interdependence

Chapter Two Terms

traditional economy
command economy
market economy
market
self-interest
incentive
mixed economy
authoritarian socialism
communism
capitalism
democratic socialism
free enterprise
private property
contract
competition
product market
resource market
income
full employment
price stability
standard of living

Chapter Three Terms
- demand
- quantity demanded
- law of demand
- purchasing power
- income effect
- substitution effect
- diminishing marginal utility
- demand schedule
- determinant of demand
- substitute good
- complimentary good
- elasticity of demand
- elastic demand
- inelastic demand
- total revenue
Chapter Four Terms
- supply
- quantity supplied
- law of supply
- profit
- cost of production
- supply schedule
- supply curve
- elasticity of supply
- elastic supply
- inelastic supply
- determinant of supply
- tax
- subsidy
- regulation
- total product
- marginal product
- law of diminishing returns
- fixed cost
- depreciation
- overhead
- variable cost
- total cost
- marginal cost
Chapter Five Terms
- market failure
- externality
- public good
- market equilibrium
- surplus
- shortage
- price ceiling
- price floor
- minimum wage
- rationing
- black market
Chapter Six Terms
- perfect competition
- buyer
- seller
- monopoly
- monopolistic competition
- differentiate
- product differentiation
- nonprice competition
- oligopoly
- interdependent pricing
- price leadership
- price war
- collusion
- cartel
- natural monopoly
- economies of scale
- geographic monopoly
- technological monopoly
- patent
- copyright
- government monopoly
- trust
- laissez-faire
- antitrust legislation
- price discrimination
Chapter Seven Terms
- sole proprietorship
- zoning law
- liability
- collateral
- longevity
- partnership
- general partnership
- limited partnership
- corporation
- articles of incorporation
- corporate charter
- board of directors
- stock
- share
- dividend
- common stock
- preferred stock
- corporate bond
- pricipal
- interest
Chapter Ten Terms
- national income accounting
- gross domestic product
- output-expenditure model
- personal consumption expenditure
- gross investment
- nominal GDP
- real GDP
- price index
- underground economy
- gross national product
- business cycle
- expansion
- peak
- contraction
- recession
- depression
- trough
- leading indicators
- coincident indicators
- lagging indicators
- real GDP per capita
- labor productivity
- productivity growth
- capital-to-labor ratio
- capital deepening
Chapter Eleven Terms
- unemployment rate
- marginally attached worker
- discouraged worker
- underemployed
- frictional unemployment
- structural unemployment
- seasonal unemployment
- cyclical unemployment
- aggregate supply
- aggregate demand
- inflation
- deflation
- demand-pull inflation
- cost-push inflation
- supply shock
- wage-price spiral
- consumer price index
- market basket
- producer price index
- inflation rate
- hyperinflation
- poverty threshold
- poverty rate
- Lorenz Curve
- Gini index
Chapter Twelve Terms
- privatization
- transfer payment
- interest group
- lobbyist
Chapter Fourteen Terms
- pyramided reserves
- check clearing
- money supply
- monetary policy
- easy-money policy
- tight-money policy
- discount rate
- prime rate
- reserve requirement
- margin requirement
- moral suasion
Chapter Fifteen Terms
- fiscal policy
- tax rate
- excise tax
- estate tax
- gift tax
- customs duty
- supply-side economics
- demand-side economics
- tax incentive
- investment tax credit
- restrictive fiscal policy
- expansionary fiscal policy
- federal budget
- fiscal year
- budget deficit
- budget surplus
- deflict spending
- national debt
- debt ceiling
Chapter Eighteen Terms
- absolute advantage
- comparative advantage
- foreign exchange market
- foreign exchange rate
- adjustable-peg system
- devaluation
- appreciation
- floating exchange rates
- balance of payments
- balance of trade
- trade surplus
- trade deficit
- trade barrier
- revenue tariff
- protective tariff
- import quota
- voluntary trade restriction
- embargo
- free trade
- protectionism

Economics Dictionary