|
|
UNLIMITED WANTS AND NEEDS: A characteristic of people such that they are never totally satisfied with the quantity and variety of goods and services. This is one half of the fundamental problem of scarcity that has plagued humanity since the beginning of time. The other half of the scarcity problem is limited resources. Unlimited wants and needs essentially means that people never get "enough"--that there's always something else that they would want or need.
Visit the GLOSS*arama
|
|
|
|
|
Lesson 17: Money | Unit 2: More About Money
|
Page: 5 of 25
|
|
Topic:
Medium of Exchange
|
|
|
|
The primary function of money is to as THE medium of exchange. An economy without money: - Barter exchange happens when you trade one good for another.
- A barter economy is one that uses nothing but barter trades, no money.
- Barter requires double coincidence of wants: I must want what you have and you must want what I have.
- With no money, resources are used for trading and not for production.
The bottom line: - Using money as a medium of exchange eases the exchange process, makes it more efficient, and frees resources for production.
|
|
|
|
|
|
|
INDUSTRY A group of firms producing goods or services that are close substitutes-in-consumption. The similarity of the products makes it possible to analyze the production in a market framework. An industry can be broadly defined, such as the manufacturing industry, or narrowly specified, such as the root beer industry. For most economic analysis the term industry is used interchangeably with the term market.
Complete Entry | Visit the WEB*pedia |
|
|
GREEN LOGIGUIN
[What's This?]
Today, you are likely to spend a great deal of time searching for rummage sales wanting to buy either a coffee table shaped like the state of Florida or storage boxes for your summer clothes. Be on the lookout for mail order catalogs with hidden messages.
Your Complete Scope
This isn't me! What am I?
|
|
|
Al Capone's business card said he was a used furniture dealer.
|
|
|
"The past is a foreign country; they do things differently there." -- Leslie Poles Hartley, Writer
|
|
APR
Annual Percentage Rate
|
|
|
Tell us what you think about AmosWEB. Like what you see? Have suggestions for improvements? Let us know. Click the User Feedback link.
User Feedback
|
|
