Personal Finance

Economy

The range of economic activity in a country, region, or community

Economic System

A structure within a society that organizes the production, distribution, and consumption of goods and services

Gift Economies

Consist of situations where goods and services are exchanged without an expected or immediate return

Barter Systems

Feature a direct exchange of goods without the use of money or another medium of exchange

Market Economies

Prices of goods and services are determined through a free system (economic freedom, competition, economic incentives, limited gov. influence, private ownership)

Laissez-faire

Let do", pure market economy, no gov. presence in economic transactions (Free enterprise)

Planned Economies

Prices of goods and services determined by gov. or state

Mixed Economy

Mixture of planned and market economy models

Socialist Economy

Gov. operates as central authority, guiding economy and controlling many of the businesses

Capitalism

Characterized by privately owned businesses engaged in making profit

Capital

Goods and tools used to make products

Labor

Human ability to produce goods and services, physical and skill/talent

Resources

Land, minerals, forests, oil, etc. that can be used to make goods

Anti-Trust Suits

Used to encourage competition in a particular industry and to break up monopolies

Global Trade

Transportation and exchange of goods, services, resources, and money across international borders

Tariffs

Taxes levied on imports and/or exports