Glossary Terms:

Monetary or non-monetary gain received because of an action taken or a decision made.

A spending-and-savings plan, based on estimated income and expenses for an individual or an organization, covering a specific time period.

Any activity or organization that produces or exchanges goods or services for a profit.

A process of examining the advantages (benefits) and disadvantages (costs) of each available alternative in arriving at a decision.

An amount that must be paid or spent to buy or obtain something. The effort, loss or sacrifice necessary to achieve or obtain something.

Economic units that demand productive resources from households and supply goods and services to households and government agencies.

Any reward or benefit, such as money, advantage or good feeling, that motivates people to do something.

Payments earned by households for selling or renting their productive resources. May include salaries, wages, interest and dividends.

The systematic overproduction or underproduction of some goods and services that occurs when producers or consumers do not have to bear the full costs of transactions they undertake. Usually related to externalities or the need for public goods.

Earnings from an investment, usually expressed as an annual percentage.

The money a business receives from customers who buy its goods and services. Not to be confused with profit.

Activities performed by people, firms or government agencies to satisfy economic wants.

Compulsory payments to governments by households and businesses.