| A | B |
|---|
| Compliments | goods used in conjunction with other goods |
| Consumer | someone who uses goods and services to satisfy wants and needs |
| Demand | a schedule of the quantities to be purchased at several different prices |
| Earned Income Tax Credit (EITC) | is responsible for alleviating poverty and raising employment among low income individuals and families |
| Economic efficiency | production of people’s wants in quantities wanted |
| Economics | study of the production |
| Elasticity | fluctuation in demand of a certain product in relation to pricing |
| Goods | produced physical products |
| Inferior goods | goods whose consumption decreases when income increases; elasticity is negative |
| Law of demand | as the price of any good falls |
| Law of supply | as the price of any good rises |
| Luxuries | normal goods with an income elasticity greater than one |
| Necessity | demand of a good will not change in relation to price |
| Normal goods | goods whose consumption increases with an increase in income; elasticity is positive |
| opportunity cost | what you are giving up or sacrificing by turning down one opportunity in order to take advantage of another opportunity |
| Personal Responsibility and Work Opportunity Reconciliation Act of 1996 | is responsible for the Temporary Assistance for Needy Families (TANF) program |
| Price elasticity | measure of the general responsiveness of quantity to change in price |
| Quantity demanded | specific amount demanded per unit of time at a specific price |
| Quantity supplied | specific amount supplied per unit of time at a specific price |
| Services | actions performed for you |
| Substitute | a good that can be used in place of another |
| Supply | a schedule of the quantities to be supplied at several different prices |
