Ch. 12 & 13 Vocab, Government Capitalism and Economics

States that when supplies of goods and services become plentiful, prices tend to drop; when supplies become scarcer, prices tend to rise.

• Capitalism

• Capital

• Entrepreneurship

• Law of Supply and Demand

All the human-made resources that are used to produce goods and services.

• Capitalism

• Capital

• Entrepreneurship

• Free Enterprise System

Individuals with the drive and ambition to combine land, labor, and capital resources to produce goods or offer services.

• Capitalism

• Capital

• Entrepreneurship

• Law of Supply and Demand

Economic system in which individuals are free to own the means of production and maximize profits.

• Capitalism

• Capital

• Entrepreneurship

• Law of Supply and Demand

A firm that is the only source of a product or service

• Free Market

• Free Enterprise System

• Monopoly

• Laissez-Faire Theory

An economic system characterized by private or corporate ownership of capital goods; investments that are determined by private decision rather than by state control and determined in a free market.

• Free Market

• Free Enterprise System

• Monopoly

• Laissez-Faire Theory

Market in which buyers and sellers are free to buy and sell as they wish.

• Free Enterprise System

• Free Market

• Monopoly

• Laissez-Faire Theory

Idea suggesting that the government should play a very limited role in society.

• Free Enterprise System

• Free Market

• Monopoly

• Laissez-Faire Theory

Ideology which calls for the collective, or state, ownership of land and other productive property.

• Socialism

• Communism

• Command Economy

• Gross Domestic Product

Total amount of goods and services produced in a country each year.

• Socialism

• Communism

• Command Economy

• Gross Domestic Product