ECONOMICS P2 QP GR11 NOV2023_English D

Oligopoly

A market situation dominated by a few large businesses.

Price Makers

Firms that determine their own prices.

Short Run

A period during which at least one factor of production is fixed.

MC = MR

The condition for profit maximization in all market structures.

Income Elasticity

A change in quantity demanded due to a change in income.

Capitalism

An economic system that contributes to the North-South divide.

Foreign Direct Investment

Investment in the form of buildings, machines, and equipment in a foreign country.

Non-renewable Resources

Resources that may become exhausted if not managed sustainably.

Product Market

Where goods and services are traded.

Accounting Profits

The difference between total income from the sale of goods and explicit costs.

Market Equilibrium

When aggregate demand is equal to aggregate supply.

Opportunity Cost

The next best alternative that is given up.

Inferior Goods

Goods and services with demand increasing as income decreases.

Pollution

Introduction of contaminants that damage the natural environment.

Economies of Scale

A situation where costs per unit decrease as quantity increases.

United Nations

An organization that disputes international trade agreements.

Fixed Costs

Costs that do not change with the level of output.

Inelastic Demand

A situation where quantity demanded is not significantly affected by price changes.

Perfect Market

A market structure characterized by a complete absence of competition.

Price Takers

Sellers in a perfectly competitive market who accept the market price.

Elastic Demand

A situation where a product's quantity demanded changes significantly with price changes.

SMART Principle

A framework for setting specific, measurable, achievable, relevant, and time-bound objectives.

Bioprospecting

Knowledge used practically for the daily survival of local communities.

Climate Change

Future change in rainfall and temperature patterns.

Digital Multinational Enterprises

Companies that have international reach and sales, particularly in the digital sector.

Green Tax

A tax imposed on activities that harm the environment.

Environmental Impact Assessment

An evaluation of the potential environmental effects of a proposed project.

Biodiversity Conservation

Efforts to protect the variety of species and ecosystems.

Globalisation

The process of increased interconnectedness among countries, especially in terms of economic activities.

Free Trade Areas

Regions in which a group of countries agree to reduce or eliminate trade barriers among themselves.