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Definition
| select occupation, employer and location |
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Definition
| select products and prices |
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Definition
a) select type and products to produce b) hire and fire employees
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Term
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Definition
buyers and sellers freely engage in market transactions both parties are better off after transaction |
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Definition
| the right to control their possessions as they wish |
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Term
| 2 types of private property |
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Definition
tangible (land) intangible (skills) |
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Term
| private property characteristics |
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Definition
| provides for incentives to work, save and invest to be productive |
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Term
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Definition
1) driving force that encourages people to improve material well being 2) responsible for growth of free enterprise 3) consumer and business profit from exchanges.
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Term
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Definition
| many producers producing similar products at different prices |
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Term
| advantages of competition |
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Definition
a) lower prices b) more variety c) better products d) more information to consumer
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Term
| entrepreneur characteristics |
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Definition
organizes and manages land, labor and capital to seek profit 1 in 5 businesses will survive past 5 years |
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Term
| benefits of entrepreneurs |
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Definition
- profit and growing business - provides jobs - new and better products - tax revenue for govt. - generates interest in an industry which will benefit through competition
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Term
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Definition
1) consumer as sovereign of the market place 2) determines products to be produced and has some control over price 3) determines change in market place for new items
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Term
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Definition
| protects property rights, enforces contracts and regulates fairness in the market place |
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Term
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Definition
provides services and products for public use purchases goods and services from businesses |
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Term
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Definition
1) preservation of competition 2) regulates interstate commerce, communications and industries
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Term
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Definition
| modifies economic system to achieve economic goals of freedom, efficienty, equity, security, employment, price stability and economic growth. |
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