Chapter 2

4. the amount of money a business receives in excess of its expenses
7. having goods and services shared as equally as possible among the people in a society
8. the power of consumers to decide what gets produced
9. an economic system based on open competition in a free market
11. an expectation that encourages people to behave in a certain way
12. level of economic prosperity
13. the structure of methods and principles that a society uses to produce and distribute goods and services
14. a market-based economic system in which the government is involved to some extent
15. a command economy in east Asia
16. the struggle among producers for the dollars of consumers

1. an economic system in which decisions on the three key economic questions are based on voluntary exchange in markets
2. another name for a centrally planned economy
3. an economic system that relies on habit, custom, or ritual to decide the three economic questions
5. an economic system characterized by private or corporate ownership of capital goods
6. the concentration of the productive efforts of individuals and firms on a limited number of activities
10. owned by individuals or companies, not by the government or the people as a whole