EPF Final Exam
the process of starting, organizing, man-
Entrepreneurship aging, and assuming the responsibility
for a business
all natural resources used to produce
land
goods and services
Capital money for investment
Workforce // Human effort directed to-
labor
ward producing goods and services
4 factors of production land, labor, capital, entrepreneurship
economic system where government
Laissez-faire economics
should not interfere in the marketplace
What kinds of services and goods should
What to produce?
be produced?
how to produce goods is decided by effi-
How to produce?
ciency and social values
For whom to produce? who gets to have the goods and services
Economic Questions What / How For Whom to produce
Economic decisions are made by individ-
market economy
uals or the open market.
An economic system in which the gov-
command economy
ernment controls a country's economy.
Business more likely to fail if they are
Market economy
inefficient in what kind of economy?
an economic system combining private
mixed economy
and public enterprise.
An economy in which production is
based on customs and traditions and
Traditional Economy
economic roles are typically passed
down from one generation to the next.
Fluctuations in economic activity, such
business cycle
as employment and production
recession A slowdown in a nation's economy
1/5
, EPF Final Exam
a phase of the business cycle during
economic expansion
which economic activity is increasing
the height of an economic expansion,
peak
when real GDP stops rising
Trough lowest point of business cycle
economic indicator used to measure the
GDP
business cycle
GDP stands for Gross Domestic Product
statistics that measure variables in the
economic indicators
economy
the exchange of goods and services
International trade
among nations
domestic trade trade within a country
Organization of Petroleum Exporting
OPEC+
Countries
MAjor oil producing nations in the middle
Iran, Kuwait, and Saudi Arabia
east / ASIA
Goods and Services sold to other coun-
Exports
tries
goods and services purchased from oth-
Imports
er countries
when a country exports more than it im-
trade surplus
ports
trade deficit An excess of imports over exports
Internal Revenue Service / collects fed-
IRS
eral taxes
Federal spending required by law that
mandatory spending continues without the need for annual
approvals by Congress.
spending category about which govern-
discretionary spending
ment planners can make choices
2/5
the process of starting, organizing, man-
Entrepreneurship aging, and assuming the responsibility
for a business
all natural resources used to produce
land
goods and services
Capital money for investment
Workforce // Human effort directed to-
labor
ward producing goods and services
4 factors of production land, labor, capital, entrepreneurship
economic system where government
Laissez-faire economics
should not interfere in the marketplace
What kinds of services and goods should
What to produce?
be produced?
how to produce goods is decided by effi-
How to produce?
ciency and social values
For whom to produce? who gets to have the goods and services
Economic Questions What / How For Whom to produce
Economic decisions are made by individ-
market economy
uals or the open market.
An economic system in which the gov-
command economy
ernment controls a country's economy.
Business more likely to fail if they are
Market economy
inefficient in what kind of economy?
an economic system combining private
mixed economy
and public enterprise.
An economy in which production is
based on customs and traditions and
Traditional Economy
economic roles are typically passed
down from one generation to the next.
Fluctuations in economic activity, such
business cycle
as employment and production
recession A slowdown in a nation's economy
1/5
, EPF Final Exam
a phase of the business cycle during
economic expansion
which economic activity is increasing
the height of an economic expansion,
peak
when real GDP stops rising
Trough lowest point of business cycle
economic indicator used to measure the
GDP
business cycle
GDP stands for Gross Domestic Product
statistics that measure variables in the
economic indicators
economy
the exchange of goods and services
International trade
among nations
domestic trade trade within a country
Organization of Petroleum Exporting
OPEC+
Countries
MAjor oil producing nations in the middle
Iran, Kuwait, and Saudi Arabia
east / ASIA
Goods and Services sold to other coun-
Exports
tries
goods and services purchased from oth-
Imports
er countries
when a country exports more than it im-
trade surplus
ports
trade deficit An excess of imports over exports
Internal Revenue Service / collects fed-
IRS
eral taxes
Federal spending required by law that
mandatory spending continues without the need for annual
approvals by Congress.
spending category about which govern-
discretionary spending
ment planners can make choices
2/5
