Marketing Vocab #1

Page 60 under VOCABULARY

economy

the organized way a nation provides for the needs and wants of its people

Resources

all the things used in producing goods or services

Factors of production

the resources required to create goods and services, including land, labor, capital, and entrepreneurship

infrastructure

the physical development of a country

entrepreneurship

the skills of people who are willing to invest their time and money to run a business

scarcity

forces nations to make economic chioces

traditional economy

habits, traditions and rituals answer the basic questions of what, how, and of whom

market economy

there is no government involvement in economic decisions

command economy

a system in which a country’s government makes on all economic decisions regarding what, why and how, and for whom good and services will be produced and distributed.

productivity

output per worker hour that is measured over a defined period of time, such as a week, month or year.

Gross domestic product

the output of goods or services produced by laboror property located within a country

Gross national product

the total dollar value of goods or services produced by a nation

inflation

refers to rising prices

Consumer price index

measures the change in price over a period of time of 400 specific retail goods and services used by the average urban household

business cycle

includes the following key phases, expansion, recession, trough

expansion

is a time when the economy is flourishing

recession

a period of economic that lasts for at least two quarters

depression

a period of prolonged recession

recovery

the term that signifies a period of renewed economic ressesion

privitization

refers to the process of governments selling government owned businesses to private individuals or businesses

Nationalization

nationalization occurs when the government takes over a privately help company