| A | B |
|---|
| depression | A phase in the business cycle that is marked by an extended period of high unemployment, a decline in the sales of goods and services, and business failures. |
| human resources | People who contribute physical and mental energy to the production process. |
| prosperity | The peak of the business cycle where the demand for goods and services is high. |
| business cycle | Movement of one economy from one condition to another. |
| socialism | An economic system in which the government owns major industries but allows private ownership of other businesses. |
| values | Desirable beliefs and principles. |
| Consumer Price Index | This shows changes in the average prices of goods and services purchased by consumers over a period of time. |
| natural resources | Raw materials supplied by nature that come from the earth, the water, or the air and are used to produce goods. |
| processors | Business that change natural resources (raw materials) into a more finished form for manufacturers to process. |
| manufacturers | Business that make finished products out of raw or processed goods. |
| shelter | What the greates proportion of consumer income is spent on. |
| citizen | In a free enterprise system, voting is a responsibility of an individual's role as this. |
| opportunity cost | What you give up when you make one choice over another. |
| productivity | The number of items produced per worker. |
| retailer | A business that sells directly to the consumer. |
| partnership | A business owned and managed by two or more people. |
| sole proprietorship | A business owned by only one person. |
| comsumer price index | The shows the changes in the average prices of goods and services purchased by consumers over a period of time. |
| short term goals | An example is Susan setting a goal to make 95% on her accounting test. |
| entrepreneurial resources | An initiaqtive to combine natural, human, and capital resources to produce goods or services. |
| economy | Activities related to the production and distribution of goods and services in a particular geographic region. |
| intermediate goals | Goals you expect to reach in the next few months or years. |
| long term goals | Goals you expect to reach over a period of several years. |
| Gross Domestic Product (GDP) | The total value of the goods and services produced in a country in one year. |
| standard of living | A measure of how well people in a country live. |
| corporation | A business treated by law as separate from its owners. |
| business cycle | The rise and fall of economic activity over time. |
| recession | A decline in economic activity. |
| franchise | A written contract granting permission to sell someone else's product or service in a particular manner. |
| wholesaler | A distributor or middleman who sells mainly to retailers and institutions, rather than consumers. |
| inflation | A general increase in the cost of goods and services. |
| consumer | A person who purchases and uses goods and services. |
| food, clothing and shelter | needs |
| capital resources | The tools, equipment, and buildings that are used to produce goods and services. |
| traditionalism | An economy in which people do things the way they have always been done. |
| communism | An economy in which the government makes ALL decisions concerning the three important economic questions. |
