chapter 2 section 2 Flashcards
(9 cards)
what are the seven economic and social goals
economic freedom, equity, efficiency, and stability, full employment and price stability
what is economic freedom
business owners like the freedom to choose where and how they produce. the belief is one of the cornerstones of american society
what is economic efficiency
if resources are wasted, fewer goods and services are produced, fewer wants and needs can be satisfied.
the efficient use of resources to produce goods and services to minimize waste
what is economic equity
distribution of wealth, resources and opportunities in an economy to ensure justice.
it’s important because americans have a strong sense of justice and fairness
what is minimum wage
it’s the least amount of money workers earn
what is economic security
ensures access to basic needs during hardships
programs supporting workers who lost jobs unfairly
social security helps retirees, survivors and disabled individuals
medicare provides insurance for people 65 plus
what is economic growth
growth enables people to have more goods and services and it’s necessary to meet everyone’s needs
what is full employment
when people work they earn income by producing goods and services for others. without jobs, people can’t support themselves and their families and there will be no benefit for others
what us price stability
inflation is when workers need more money to sustain themselves when prices go up
fixed income, people struggle to pay bills when income is fixed and inflation rises
stable prices and salaries add a degree of certainty for the future for all
