BASIC VOCABULARY ADVANCED VOCABULARY (Grade 11) · vocabulary - © firsching 2010
Economics vocabulary
Transcript of Economics vocabulary
Traditional Economy
An economic system in which decisions about
production and consumption are based on
custom and tradition.
Free Enterprise System
An economic system in which people are free to
operate their businesses as they see fit, with little
government interference.
Capitalism
An economic system based on private ownership
and on the investment of money in business
ventures in order to make a profit.
Command Economy
An economic system in which economic decisions
about production and distribution are made by
some central authority
Laissez Faire
A policy based on the idea that government
should play as small a role as possible in the
economy
Service
Work done by one person or group that benefits
another but does not produce a physical product
Capital Resource
A tool, machine, or building that people use to
produce goods and services. It also includes
money.
Human Resource
The people who make products or provide
services (the most expensive part of producing
goods and services)
Captain of Industry
An industrious leader who transformed the
American economy through business skills
Vertical Integration
Practice where a single entity controls the entire
process of a product, from the raw materials to
distribution
Trusts
Firms or corporations that combine for the
purpose of reducing competition and controlling
prices (establishing a monopoly).
Corporation
A business owned by investors who share in its
profits but are not personally responsible for its
debts
Piecework
Employment where a worker is paid a fixed rate
per piece completed, instead of an hourly wage
Distribution
The act of giving or delivering something to
people. The way something is divided or spread
out.
Byproduct
A secondary product that comes from the
manufacturing process. It is not the main product
being produced.
Union
An organization of workers that have come
together to achieve goals that alone, they would
not have the power to achieve.
Gilded
Covered in a thin layer of gold
OR
Having a showy appearance that hides
something of little worth
Political Machine
A well organized political organization that
controls election results by awarding jobs and
other favors in exchange for votes