Goods and Services: Some are Private, Some are Not
Glossary terms from:
A financial institution that provides various products and services to its customers, including checking and savings accounts, loans and currency exchange.
The industry involved with conducting financial transactions. Also, conducting business with a bank, e.g., maintaining a checking or savings account or obtaining a loan.
Monetary or non-monetary gain received because of an action taken or a decision made.
To receive and use something belonging to somebody else, with the intention of returning or repaying it--often with interest in the case of borrowed money.
People who use goods and services to satisfy their personal needs and not for resale or in the production of other goods and services.
Economic side-effects or third-party effects, in which some of the benefits or costs associated with the production or consumption of a product affect someone other than the direct producer or consumer of the product. Can be positive or negative.
Tangible objects that satisfy economic wants.
A practice or arrangement whereby a company provides a guarantee of compensation for specified forms of loss, damage, injury or death. People obtain such guarantees by buying insurance policies, for which they pay premiums. The process allows for the spreading out of risk over a pool of insurance policyholders, with the expectation that only a few policholders will actually experience losses for which claims must be made. Types of insurance include automobile, health, renter's, homeowner's, disability and life.
Money paid regularly, at a particular rate, for the use of borrowed money.
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.
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.
A market structure in which slightly differentiated products are sold by a large number of relatively small producers, and in which the barriers to new firms entering the market are low.
Legal protection for the boundaries and possession of property. Assigning of property rights to individuals, collectives or governments depends on the economic system.
Goods, often supplied by the government, for which use by one person does not reduce the quantity of the good available for others to use, and for which consumption cannot be limited to those who pay for the good.
Role of Government
Government activity in establishing a framework or rules of the game in economic life. In the United States, this activity involves preserving and fostering competition, regulating natural monopolies, providing information and services to enable the market to work better, regulating externalities, providing certain public goods, offering some economic security and income redistribution to individuals, assuring a sound monetary system and promoting overall economic stability and growth.
Activities performed by people, firms or government agencies to satisfy economic wants.
Compulsory payments to governments by households and businesses.
Effort applied to achieve a purpose or result, often for pay; skills and knowledge put to use to get something done; employment at a job or in a position; occupation, profession, business, trade, craft, etc.
People employed to do work, producing goods and services.