| A | B |
|---|
| Economics | Study of how societies decide what to produce, how to produce it, and how to distribute what they produce. |
| Scarcity | Too few resources available for everyone in the world to consume as much as he or she would like. |
| Opportunity Cost | The loss associated with the best opportunity that is passed up. |
| Command Economy | Government decides what goods and services are produced. |
| Market Economy | Private companies and individuals decide what to produce and what to consume. |
| Equilibrium price | The price at which supply equals demand |
| Breakeven analysis | Reveals how many units of a good or service a business needs to sell before it begins earning a profit. |
| Breakeven point | The point at which revenue is sufficient to cover all costs. |
| Business Cycle | Expansion and contraction by many industries at once. |
| Recession | Phase of the business cycle in which growth falls for two three-month periods in a row. |
| Depression | Business cycle phase in which business activity remains far below normal for years. |
| Economic indicators | Data that show how the economy is performing. |
