Economic+Terms

Economics Terms

 * Define the following:**

1. **Supply-** A supply is an amount of good or service that producers sell at a given prices for a certain amount of time. 2. **Demand-** 3. **Scarcity-** Scarcity is a shortness of supply. 4. **Producer-** A producer is someone who creates goods and services to sell. 5. **Consumer-** Consumers are people who buy goods and services to satisfy their personal needs. 6. **Goods**- Goods are objects that producers sell and consumers buy. 7. **Services**- A person gives service to others to satisfy economic needs. 8. **Entrepreneur**- An entrepreneur is a person who uses his or her skills to create a new business, mainly for profit. 9. **Cost**- A cost is the price of an object that consumers buy; you need to pay a casher or producer if you want their product. 10. **Opportunity Cost**- cost in terms of foregoing alternatives 11. **Competition**- Competition is two or more businesses or organizations fighting against each other (with the same product) to require more buyers. 12. **Income**- Income is money you receive for working. Also known as a salary or wage. 13. **Expenditure**- Expenditures are goods and services that the government provides, such as roads and public education. 14. **Barter-** To Barter is to trade a good for another good without any money. 15. **Inventory-** Inventory is a quantity of goods or products held in stock by a business or a person. 16. **Invest-** Investing is putting money someplace (such as a stock or a bond) with the intention of earning more money. 17. **Material-** Material is what business use or need to make their products. 18. ***Capitalism-** An economic system in which the means of production and or distribution is privately or is corporately owned. 19. ***Socialism-** Socialism is a social organization which the producing and distributing of goods is owned collectively or by the government. 20. ***Communism-** a form of socialism that abolishes private ownership