| A | B |
|---|
| market economy | economic system in which people choose freely what to buy and sell |
| free enterprise | system that lets competition among businesses determine the price of products |
| capitalism | economic system in which businesses, industries, and resources are privately owned |
| command economy | economic system in which the government decides what to produce, where to make it, and what price to charge |
| communism | economic and political system in which government owns or controls almost all the means of production |
| gross national product (GNP) | total value of goods and services that a country produces in a year |
| gross domestic product (GDP) | total value of goods and services created within a country |
| industrialization | process by which manufacturing based on machine power becomes widespread in an area |
| literacy rate | percentage of people who can read and write |
| developed countries | countries with high levels of industrialization and high standards of living |
| infrastructure | system of roads, ports, and other facilities needed by a modern economy |
| developing countries | countries with less productive economies than developed countries and low standards of living |
