1. important concepts for Social Studies
Economic Vocabulary
important concepts for Social Studies

2. economics:   the study of how people or countries manage (choose to use) their limited resources by producing, exchanging, and using goods and services.
easy definition: how people use and manage their resources
Sources: Microsoft Clip Art(left) Wikimedia (right)

3. Traditional Economy: economic system in which social roles and culture decide what will be produced, how it will be produced and how it will be distributed
easy definition: your social roles and culture decide every thing about your product
Image created by Erwin Pedia

4. Command economy: A system in which the government decides what will be produced, how it will be produced, and how it will be distributed.  
Easy definition: An economic system where the government decides the answer to the three economic questions.
Image created by Max

5. market economy: economic system in which the people decides what will be produced, how it will be produced, and how it will be distributed 
easy definition: An economic system where the people decide the 3 economic questions.
Image created by

6. mixed economy:   economic system in which the government and people share the role in deciding what will be produced, how it will be produced, and how it will be distributed.
easy definition:Is when the people and the government are in charge of products
Image created by Max & Logan

7. specialization:   when a country focuses resouces on creating fewer specific products and services than they consume
easy definition: create one product and trade for the rest
All images are public domain.  
Sources: Wikimedia

8. trade barriers:  -governmental policies that restrict the entry of products into a country.
easy definition: things that interfere with the entry of goods.
Image created by David

9. tariff:  Per item either, by weight or origin, there is a certain amount of money to be paid per import, or a tax.
easy definition: Tax on imports.
All images are public domain.  
Sources: ctemploymentlawblog.com

10. quota: Limiting the amout of products that can come into a country.
easy definition: a limit of imported goods
Image created by Lexie

11. embargo:  cutting off trade to a certain country because of political reasons
easy definition: No longer trading with a country for a certain period of time or when the leader of a country says to open trade again.
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Image created by Joshua

12. currency: something that is used as a medium of exchange; money.
easy definition: money
All images are public domain.  
Sources: Wikimedia Commons

13. exchange rate:  The rate at which one unit of the currency of a country can be traded for  a unit of the currency of another country
easy definition: How much one currency is worth in another country.
All images are public domain.  
Sources: Wikimedia Commons

14. Natural Resources:   Raw materials used to make products or "gifts of nature."
Easy Definition: Natural raw materials.
All images are public domain.  
Sources: Wikimedia commons

15. human capital:  Labor that is done by people in order to produce products.
easy definition: Work that is done by workers.
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Sources:

16. capital goods:   the machines, tools, factories, land, and technology that are needed to make other products.
easy definition: the tools and machines used to make other products. 
All images are public domain.  
Sources: Wikipedia and

17. G.D.P.: The amount of products and services produced in one country in one year.
easy definition: value of products made in a country in one year.
All images are public domain.  
Sources: Wikimedia Commons

18. trade: voluntary exchange of products or services
easy definition: exchange
All images are public domain.  
Sources:

19. import: a product brought into a country through trade or sale
easy definition: the income of products
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Sources:

20. export: a product leaving a country through trade or sale.
easy definition : products leaving a country.
Student created image

21. entrepreneurship:   Bringing together natural, capital, and human resources and taking risks to start a business. 
easy definition: when someone who pools resources to start a business.