| A | B |
|---|
| FDIC | insures up to $250,000 per customer |
| reserve requirement | Federal Reserve rule that banks must hold a percentage of deposits |
| economic system | structure for allocating limited resources |
| capitalism | Free market allowing private ownership and fair competition |
| pure competition | many competitors selling identical products |
| monopolistic competition | many competitors selling different products |
| oligopoly | handful of competitors selling products similar or different |
| monopoly | producer dominates the industry - no room for competitors |
| natural monopoly | nature of the product make single supplier more efficient than competing ones |
| supply | quantity of products available for sale |
| demand | quantity of products consumers are willing to buy |
| supply curve | relationship graph showing price and quantity from a supplier's standpoint |
| demand curve | relationship graph between price and quantity from customer's standpoint |
| equilibrium price | price where quantity demanded equals quantity supplied |
| socialism | governments own and operate key enterprises |
| communism | an economic/political system where all ownership is under a strong government control |
