Capitalism And Competition Flashcards
(10 cards)
What is the collective group of people living in a country or governmental area called?
Public
The public includes all individuals residing in a specific governmental jurisdiction.
What are businesses that are owned by individuals called?
Private sector
The private sector contrasts with the public sector, which includes government-owned entities.
What term is used for governmental organizations and agencies that aim to protect the good of the public?
Public sector
The public sector encompasses various government functions and services.
What is a market economy?
An economic system regulated by the interactions between producers and consumers
Market economies rely on supply and demand to determine prices.
What is a planned economy?
A system in which the government controls the prices of commodities
Planned economies often involve central planning and regulation.
What is a mixed economy?
A system where the government regulates the economy but not as fully as in a planned economy
Mixed economies incorporate elements of both market and planned economies.
What is a traditional economy?
A system where production activities are done as needed to satisfy a specific demand
Traditional economies often rely on customs and practices.
What are direct competitors?
Companies that offer basically the same product
Direct competition occurs when businesses target the same customer base.
What are indirect competitors?
Companies that offer products or services that can be substituted for each other but are somewhat different
Indirect competition involves different products meeting similar needs.
What are noncompetitors?
Companies that have no areas of competition with each other directly or indirectly
Noncompetitors operate in entirely different markets or sectors.
