Ch. 5 Vocab

price controls

attempt to set prices through government involvement in the market

price ceiling

a legally established maximum price for a good or service

black market

illegal markets that arise when price controls are in place

rent control

a price ceiling that applies to the market for apartment rentals

price gouging laws

place a temporary ceiling on the prices that sellers can charge during times of emergency

price floor

A legally established minimum price for a good, or service

minimum wage

the lowest hourly rate an employer may legally pay most workers

Gross Domestic Product (GDP)

the market value of all final goods and services produced within a country in a given period of time

per capita GDP

Gross Domestic Product per person

real GDP

GDP adjusted for changes in prices