LibGuides: Economics: Getting Started: Terms and Concepts

Topic Pages - Economic Systems

capitalism
Economic system based on private ownership of the means of production, in which personal profit can be acquired through investment of capital...
socialism
General term for the political and economic theory that advocates a system of collective or government ownership and management of the means of...
communism
Fundamentally, a system of social organization in which property (especially real property and the means of production) is held in common. Thus...

Topic Pages - Institutions

Federal Reserve System
Central banking system of the United States. Established in 1913, it began to operate in Nov., 1914. Its setup, although somewhat altered since...
International Monetary Fund
(IMF), specialized agency of the United Nations, established in 1945. It was planned at the Bretton Woods Conference (1944), and its...
World Trade Organization

Specialized, rules-based, member-driven agency of the United Nations, world trade monitoring body established in January 1995...
Organization of Petroleum Exporting Countries
(OPEC), multinational organization (est. 1960, formally constituted 1961) that coordinates petroleum policies and economic aid among...
Bank of England
Central bank and note-issuing institution of Great Britain. Popularly known as the Old Lady of Threadneedle Street, its main office stands on...

Topic Pages - Terms and Concepts

supply and demand
In classical economics, factors that are said to determine price, by correlating the amount of a given commodity producers hope to sell at a...
macroeconomics
Division of economics concerned with the study of whole (aggregate) economies or systems, including such aspects as government income...
gross domestic product
Value of all final goods and services produced within a country within a given time period, usually one year. GDP thus includes...
money
Term that actually refers to two concepts: the abstract unit of account in terms of which the value of goods, services, and obligations can be...
econometrics
Technique of economic analysis that expresses economic theory in terms of mathematical relationships and then tests it empirically through...
resources
Materials that can be used to satisfy human needs. Because human needs are varied and extend from basic physical requirements, such...
standard of living
Level of consumption that an individual, group, or nation has achieved. The evaluation of a standard of living is relative, depending upon the...
consumption
In economics, direct utilization of goods and services by consumers, not including the use of means of production, such as machinery and...
inflation
In economics, persistent and relatively large increase in the general price level of goods and services. Its opposite is deflation, a process of...
debt
Something that is owed by a person, organization, or country, usually money, goods, or services. Debt usually occurs as a result of...
distribution
In economics, the allocation of a society's total wealth among various economic groups. Distribution, in that sense, does not refer to the...
commodity market
Organized traders' exchange in which standardized, graded products are bought and sold. Worldwide, there are 48 major commodity exchanges that...
stock exchange
Organized market for the trading of stocks and bonds (see bond; stock). Such markets were originally open to all, but at present only...
statistics
Branch of mathematics concerned with the collection and interpretation of data. For example, to determine the mean age of the...
trade
Traffic in goods. Conducted by gift, barter, or sale, trade is one of the most widespread of all social institutions. Early Trade The...
Unemployment
Lack of paid employment. The unemployed are usually defined as those out of work who are available for and actively seeking work....
poverty
Condition in which the basic needs of human beings (shelter, food, and clothing) are not being met. Over one-fifth of the world's...
income tax
Assessment levied upon individual or corporate incomes. Although personal incomes were occasionally taxed in medieval Italian cities, the income...
labor law
Legislation dealing with human beings in their capacity as workers or wage earners. The Industrial Revolution, by introducing the machine and...
social security
Government program designed to provide for the basic economic security and welfare of individuals and their dependents. The programs classified...
central bank
Financial institution designed to regulate and control the money supply of a nation, with the goal of fostering economic growth without...
interest
Charge for the use of credit or money, usually figured as a percentage of the principal and computed annually. Simple interest is computed...
embargo
Prohibition by a country of the departure of ships or certain types of goods from its ports. Instances of confining all domestic ships to port...
cartel
National or international organization of manufacturers or traders allied by agreement to fix prices, limit supply, divide markets, or to fix...
tariff
Tax on imported and, more rarely, exported goods. It is also called a customs duty. Tariffs may be distinguished from other taxes in that their...