Terms to study for the Vocabulary Test on Tue. March 24th.
1. Standard of Living - a measure of quality of life.
2. Goods - any object you can buy to satisfy a want
3. Services - an action that meets a want
4. International trade - the exchange of capital, goods, and services across international borders or territories
5. Consumer - a person who uses goods or services
6. Currency - money used as a form of exchange
7. Traditional economy - an economic system in which social roles and culture determine how goods are made, sold and bought
8. Command economy - an economic system in which the government decides what goods will be produced, how they will be produced, and how they will be distributed
9. Market economy - an economic system based on individual choices and voluntary trade
10. Mixed economy - an economy that has features of traditional, command and market systems
11. Supply & demand - an economic concept that states that the price of a good rises or falls depending on how many people want it(demand) and how much of the goods are available(supply)
12. Scarcity - a term economists use to describe the conflict between people's desires and limited resources
13. Trade barriers - physical or political restrictions on trade
14. Tariffs - taxes placed on imports or exports
15. Quota - a set number, amount or portion
16. Embargo - any restriction placed on commerce by law
17. Currency exchange - the changing of one's country's money to that of another country's money (ie. Dollar to Euro)
18. Economic growth - the expansion of the economy, leading to the creation of more jobs and more wealth.
19. Human capital - people who perform labor, or are part of the workforce
20. Capital - money, goods, or equipment used by business to produce other goods.
21. Investment - the outlay of money for income or profit
22. Gross domestic product (GDP) - the total value of the goods and services produced in a country during a given time period
23. Technology - tools and equipment made through scientific discoveries
24. Natural resources - gifts of nature such as forests, fertile soil and water
25. Entrepreneurship - a person who organizes, operates and assumes the risk for a business venture
26. Literacy rate - percentage of people who have the ability to read and write
27. North American Free Trade Agreement (NAFTA) - provides free trade between the countries of Canada, the United States and Mexico.