| A | B |
|---|
| Competition | A rivalry between two or more businesses trying to sell products to the same customer or market |
| Demand | Refers to how much (quantity) of a product or service is desired by buyers |
| Economics | The study of how individuals and societies make decisions about production and consumption of goods and services |
| Elasticity | Refers to how much the demand for an item changes based on a change in the price of that item. Prices are considered to be either elastic or inelastic |
| Entrepreneur | A person who uses their ideas and takes risks in order to create a new business |
| Entrepreneurship | One of the factors of production that involves taking the actions and risks necessary to produce a new product or business |
| Equilibrium | The price at which quantity demanded meets quantity supplied |
| Exhaustible | A natural resource that is irreplaceable; when it is used up |
| Externalities | A side effect of an action that affects a third party other than the buyer or seller |
| Factors of Production | The human |
| Goods | Products people use and consume |
| Incentives | An action or reward that motivates on to act a certain way |
| Inelastic | The item is considered a necessity |
| Inflation | An increase in the overall level of prices for goods |
| Marginal Benefit | The satisfaction that one receives from one more unit of a good or service |
| Marginal Cost | The additional effort or price of producing or using one more unit of a good or service |
| Money | Anything that is generally accepted as payment for goods and services |
| Needs | Things that you must have to survive |
| Opportunity Cost | The benefits you could have received by performing an alternative action to the one you chose to do |
| Price Ceiling | The highest price that sellers may charge for a product as mandated by some legal entity |
| Price Floor | The lowest price that buyers must par for a product as mandated by some legal entity |
| Renewable | A natural recourse that can be replaced |
| Scarcity | A shortness of supply; not enough of something to satisfy everyone’s wants and needs |
| Services | Activities used to satisfy our wants and needs |
| Supply | Represents the total amount the market is currently producing |
| Wants | Things that you would like to have |
