| A | B |
|---|
| Any resources that are made by humans ab used to create other goods and sevices are called capital | The government of a country must make a decision increasing military spending and subsidizing wheat farmers. the kind of decison is a guns or better issue |
| An example of a shortage is limited amounts of food available because the trucks carrying it are on strike | The law of increasing costs means that when an economy increases the production of one item the opprotunity cost goes up |
| The resources used to make all goods and services are the factors | An efficent economy is one that uses its resources to make the mpost good and services |
| One of the most important advantages of a free market | A free market economy needs some government intervention to provide for things that the marketplace does not address |
| A struggle among various producers for the consumers business is called compotition | a countrys production possibillites increase because the available workers become more skilled at using a computer. this is an example of growth caused |
| An economy that uses its resources to make the greatest possible number of goods and services is efficent | A factory building is an example of physical capital |
| The opportuinty cost of a decison is the most desirable alternative given up for the decison | for a flat money system to work the government most control the money supply |
| An accurate statement about the great depression would be that it would end largly because of an increase in defense spending related to world war 2 | When the economy is working properly the unemployment rateis 4 to 6 percent |
| The distribution of income has become less equal in the united staes over the last 20 years | Workfare is a program that requires work in exchange for assistant |
| A person is underemployed when the person has a job but he\she is overqualifed for it | the federal budget is put together by congress and the white house |
| Every hour the federal government spends about $200 million | property taxes in the major source of tax revenue for local governments |
| A major difference between an operating budget. | One reason why the federal governments collects income taxes as a person earns is so that the government can pay bills as they come due |
| Social security taxes pay benefits to older citizens surviving family members or wage earners | a bussiness |
| Census | Percentage of unemployed workforce |
| Mortgage | A specfic type of loan that is used to payreal estate |
| Intrest | the price paid for the use of borrowed money |
| FDIC | The government agency that makes sure that customers money is safe if a bank fails |
| Default | Failure to pay back a loan |
| Currency | coins and paper bills used as money |
| cooperative | A business organization owned and seperated by a group of individuals for the mutual benefits |
| corporation | a legal entity owned by individual stockholders |
| limited partnership | an establishment owned by two or more persons in which only one peron has unlimited personal liabillity |
| Business organization | An establishment formed to carry on commercial enterpise |
| assets | money and other valiables belonging to an individual or business |
| Sole proprietorship | a business owned an managed by a single individual |
