Economics Chapter 3

4. fuel made from wood peat, municipal solid waste, straw, corn, tires, landfill, gasses, fish oils and other waste.
6. rise in the general level of prices.
7. Free enterprise market economy where people carry on their economic affairs freely, but are subject to some government intervention and regulation; also see mixed economy
8. lowest legal wage that can be paid to most workers.
10. act of buyers and sellers freely and willingly engaging in market transactions; a character of capitalism and free enterprise.
12. the struggle among sellers to attract consumers.
13. fundamental feature of capitalism, which allows individuals to own and control their possessions as they wish; includes both tangible and intangible property.
15. driving force encourages people and organizations to improve their material well-being; characteristic of capitalism and free enterprise.
16. income that does not increase over time.
17. Federal health insurance program for senior citizens, regardless of income.

1. role of the consumer as ruler of the market in determining the types of goods and services produced.
2. an economic system in which privately owned businesses have the freedom to operate for a profit with limited government intervention.
3. difference between the revenue from sales and the full opportunity cost of resources involved in producing the sales.
5. Risk-taking individual in search of profits; one of four factors of production.
9. severe economic downturn that lasted from late 2007 to mid-2009.
11. Federal program of disability and retirement benefits that covers most working people.
14. Economic system that has some combination of traditional, command, and market economies; also see modified free enterprise economy.