| A | B |
|---|
| free enterprise system | encourages individuals to start their own business |
| competition | two businesses "selling" the same product |
| price competition | focusing on the sale price of the product |
| nonprice competition | competing on factors not related to price |
| monopoly | exclusive control over the product |
| risk | potentioal for loss/ failure |
| supply | amount of goods produced (on hand) |
| demand | the costomer's wants (amount needed) |
| surpluses | excess of goods |
| shortages | the demand does not meet the supply |
| equukibrium | suply = demand |
| profit | money earned after all expenses are paid |
