Economics So Far

4. This refers to the quantities of a product that sellers are willing and able to produce at a given price.
5. This economic system may also be called a free market or market economy.
7. The amount earned when calculating the equilibrium (price x quantity).
8. The citizens of this type of economic system pay about 50% of their income in taxes.
10. These are goods that are meant to last a long time, such as tires, cars, washers and dryers.
13. This type of economic system has the most freedoms, including the freedom to start a business, spend your income as you wish and pursue any career you choose.
15. Items we purchase on a regular basis whether the price goes up or down, such as milk and bread is known as a/an ___________ good.
16. This means there is an opposite relationship among price and quantity. When the price goes down, consumers buy more. {Remember, no spaces in the answer}

1. The point where the supply curve and demand curve intersect.
2. Goods necessary to run a business, such as tools, machinery and equipment are known as ________ goods.
3. When producers make too much of a product and have to reduce the price to sell it.
6. When producers do not make enough of a product.
9. This refers to the fact that all resources are limited and our wants and needs are unlimited.
11. This means that there is a direct relationship between the quantity supplied and the price. If sellers can get a higher price, they will make more of a product. {Remember, no spaces in the answer}
12. The cost of the next best alternative when choosing how to spend your time, money or other resources. Example: Choosing to watch TV instead of study for a test. {Remember, no spaces in the answer}
14. This refers to the quantities of a product consumers are willing and able to buy at various prices.