ECONOMICS ACRONYMS

chapter 2 factors of production

L- Land

L- Labour

C- Capital

E- Enterprise

REWARDS

R- rent

W- wages

I- interest

P- profit

chapter 7 demand

factors affecting demand

H- Habits

I- Income

S- Substitutes

A- Advertisements

G- Government

E- Expectations

chapter 10- PED

factors affecting elasticity of demand

T- Time

H- Habits

I- Income

S- Substitutes

A- Advertisements

N- Necessity

D- definition (the meaning of

chapter 11- PES

factors affecting elasticity of supply

L- level of inventory

E- ease of obtaining/substituting factors of production

A- availability of spare capacity

N- number of firms in industry

T- time period

chapter 12- market economic system

advantages of market economies

C- consumer choice

C- competition

P- profit incentives

G- greater efficiency

E- encourages innovation

disadvantages of market economies

M- monopoly power

M- market failure

I- inequality

U- under consumption of merit goods

O- over consumption of demerit goods

chapter 15- money and banking

four functions of money

M- medium of exchange

M- measure of value

S- standard of deferred payment

S- store of value

what makes good money

D- durable

D- divisible

S- scarce

S- stable in value

A- acceptable

chapter 31- living standard

what HDI does NOT measure

Q- qualitative factors

I- Income distribution

E- environmental issues

C- cultural differences