Glossary Terms:

To Be or Not To Be?

Glossary terms from:
http://www.econedlink.org/e393


Capital

Resources and goods made and used to produce other goods and services. Examples include buildings, machinery, tools and equipment. In the context of credit transactions, capital is one of the Three Cs of Credit. It is an indicator of how creditworthy a prospective borrower is likely to be as determined by the borrower's current financial assets and net worth.

Demand

The quantity of a good or service that buyers are willing and able to buy at all possible prices during a period of time.

Goal

Something a person or organization plans to achieve in the future; an aim or desired result.

Human Resources

The health, education, experience, training, skills and values of people. Also known as human capital.

Income

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

Interest

Money paid regularly, at a particular rate, for the use of borrowed money.

Job

A piece of work usually done on order at an agreed-upon rate. Also a paid position of regular employment.

Labor

The quantity and quality of human effort available to produce goods and services.

Labor Market

The labor supply and labor demand curves. The intersection of the labor supply and labor demand curves determines the equilibrium wage and the quantity of hours people work at this equilibrium wage.

Money

Anything that is generally accepted as final payment for goods and services; serves as a medium of exchange, a store of value and a standard of value. Characteristics of money are portability, stability in value, uniformity, durability and acceptance.

Occupation

A job or profession; also a category of work, sometimes identified by the degree of skill required.

Real Estate

Property such as land, houses and office buildings.

Salaries

Payments for labor resources; unlike wages, not explicitly based on the number of hours worked. See also Wages.

Salary

A regular payment, often at monthly or biweekly intervals, made by an employer to an employee, especially in the case of professional or white-collar employees. Salaries are paid for services rendered and are not based on hours worked.

Supply

The amount of a good or service that producers are willing and able to offer for sale at each possible price during a given period of time.

Wage

Payments for labor services that are directly tied to time worked, or to the number of units of output produced.