Chapter 4 Study Guide
What is credit?
Credit: receiving of funds either directly (cash) or indirectly (approval) to buy goods and
services today with the promise to pay for them in the future
What is debt?
Debt: amount you owe when using credit to buy g
Economics- study of how individuals and nations make choices about how to use scarce
resources to fulfill their wants.
Resources- anything that people can use to make/ obtain what they want
Scarcity- people do not and cant have enough income, ti
Chapter 8 Review
1. What is the basis of most activity in a market economy?
the principle of voluntary exchange
2. What generally happens to a quantity demanded when the price of a good goes up (and
other prices stay the same)?
quantity of demand goes dow
Saving and Investing
Identifying Key Terms
1. mutual fund: a less risky way to invest in stocks and bonds
2. savings bond: a government security attractive to small investors
3. stock: represents ownership of a corporation
4. dividend: an increase in weal
Econ Chapter 3 Study Guide
Consumerism: movement to educate buyers about the purchases they make and to
demand better/ safer product from manufacturers
Consumer: any person/ group that buys or uses good/ services to satisfy personal
Name _ _
Period _ Date _
1. Sole proprietorship-business owned and operated by _ _.
2. (opinion) Of the six strengths of sole proprietorships, which one would be the most
important to you? _
3. Unlimited liability - _
1. Analyzing the Factors of Production
Economist Alfred Marshall (1842-1924) exerted much influence on the British. In this excerpt from his
Principles of Economics, Marshall speaks about what distinguishes the factor of land.
Land is on a diff
Directions: For each section, choose two vocabulary words from the unit to complete the statements. You
ARE allowed to change the verb tense (is to are) to make the sentence grammatically correct.
roses and daises are similar because they both
Ticket Out the Door
o Think about the
empires that you have
discussed and debated.
Which empire to you
think will have the
largest impact on
history and why?
Write your answer here
o Which aspect of your
groups treaty was the