| A | B |
|---|
| traditional system | A system in which basic economic decisions are made according to past ways |
| prosperity | The high point of the business cycle |
| natural resources | Productive resources such as coal, oil, trees, fish, and crops |
| services | Tasks that people or machines perform |
| wants | The things we wish we could have |
| business cycle | The movement of an economy from one condition to another and back again |
| needs | The things we must have in order to survive |
| capital resources | Productive resources that include machines, buildings, and equipment. |
| recession | A period of decline in the business cycle |
| market system | A system in which basic economic decisions are based on the actions of individuals and businesses |
| human resources | People who contribute physical and mental energy to the production process |
| depression | The lowest point of a business cycle |
| goods | Items that can be purchased |
| mixed system | A system which combines elements of the three basic types of economies |
| command system | A system in which basic economic decisions are made by a central authority |
| recovery | The phase of the business cycle in which people who have been out of work begin to find jobs |
| productivity | The amount of output produced per unit of input |
| inflation | rapid rise in prices |
| gross national product | Total dollar value of all the goods and services produced by an economic system in a year |
| opportunity cost | What you give up when you make one choice instead of another |
