How to use this dictionary: The page below contains most of the key terms from an introductory Economics course. To read a definition scroll your cursor over a term or click on the term.
- Absolute advantage
- Absolute poverty
- Ad Valorem taxes
- Aggregate Demand
- Aggregate demand and Aggregate supply Model
- Aggregate Supply
- Allocative efficiency
- Appreciation
- Asymmetric Information
- Average fixed cost
- Average total cost
- Average variable cost
- Balance of Payments
- Barriers to entry
- Black market
- Bond
- Break-even price
- Budget deficit
- Budget deficit
- Buffer stock systems
- Business Cycle
- Capital
- Capital Flight
- Cartel
- Ceteris paribus
- Choice
- Circular flow
- Classical economic theory
- Collusion
- Command Economy
- Commodity
- Commodity agreements
- Common access resources
- Common market
- Comparative advantage
- Complements
- Consumer Price Index (CPI)
- Consumer Surplus
- Consumption
- Contestable markets
- Contractionary fiscal policy
- Contractionary monetary policy
- Corrective subsidy
- Corrective tax (Pigouvian tax)
- Cost-push inflation
- Cross-price Elasticity of demand (XED)
- Crowding-out effect
- Current account
- Current account deficit
- Current account surplus
- Customs union
- Cyclical unemployment
- Deadweight loss
- Debt cancellation
- Decreasing Returns to Scale
- Deflation
- Deflationary gap
- Demand
- Demand deposit (Checkable deposit)
- Demand side policies
- Demand-pull inflation
- Depreciation
- Depreciation (microeconomics)
- Derived Demand
- Deterioration in terms of trade
- Devaluation
- Diamond and Water Paradox
- Differentiation
- Diminishing marginal returns
- Diminishing marginal utility
- Direct taxation
- Discount rate
- Diseconomies of scale
- Disequilibrium
- Diversification
- Dumping
- Economic Development
- Economic good
- Economic growth
- Economic profit
- Economic resources
- Economies of Scale
- Elastic Demand
- Entrepreneurship
- Equilibrium
- Equity
- Excess reserves
- Exchange rate
- Expectations
- Expenditure-reducing policies
- Expenditure-switching policies
- Expenditures approach to GDP
- Export-led Growth
- Exports
- Externalities
- Factors of Production
- Fair Trade
- Federal Funds Rate
- Financial account
- Fiscal policy
- Fixed Costs
- Flat rate taxes
- Floating exchange rate
- Foreign Direct Investment (FDI)
- Foreign exchange market
- Fractional reserve banking
- Free good
- Free market economy
- Free Trade
- Free Trade Agreement
- Free trade area
- Frictional unemployment
- Full employment
- GDP (expenditure approach)
- GDP (income approach)
- GDP (per capita)
- GDP Deflator
- GDP growth rate
- Giffen Goods
- Gini Coefficient
- Globalization
- Goods
- Government spending
- Gross Domestic Product (GDP)
- Homogenous
- Human capital
- Human Development Index (HDI)
- Hyperinflation
- Import substitution
- Imports
- Improvement in terms of trade
- Incentive
- Income
- Income effect
- Income Elasticity of Demand (YED)
- Increasing Returns to Scale
- Indebtedness
- Indirect Taxation
- Inelastic Demand
- Infant Industry
- Inferior Goods
- Inflation
- Inflation rate
- Inflationary gap
- Inflationary spiral
- Infrastructure
- Interdependence
- Interest
- Interest rate
- Investment
- J-Curve
- Keynesian Economic Theory
- Labor
- Land
- Law of Demand
- Law of increasing opportunity cost
- Law of Supply
- Less Economically Developed Country (LEDC)
- Loanable funds market
- Long-run (macroeconomics)
- Long-run (macroeconomics)
- Long-run (microeconomics)
- Long-run aggregate supply
- Long-run Economic growth
- Lorenz Curve
- Lump sum tax
- M1
- M2
- M3
- Macroeconomic equilibrium
- Macroeconomics
- Managed exchange rate
- Marginal
- Marginal analysis
- Marginal Cost
- Marginal Private Benefit (MPB)
- Marginal Private Cost (MPC)
- Marginal Product
- Marginal propensity to consume (MPC)
- Marginal propensity to save (MPS)
- Marginal Revenue
- Marginal Social Benefit (MSB)
- Marginal Social Cost (MSC)
- Market
- Market Failure
- Market system
- Marshall-Lerner Condition
- Merit goods
- Micro-credit
- Microeconomics
- Mixed economy
- Monetarism
- Monetary policy
- Money
- Money demand
- Money market
- Money Multiplier
- Money supply
- Monopolistic Competition
- Monopoly
- More Economically Developed Country (MEDC)
- Multi-national Corporations
- Multilateral aid
- Multiplier effect
- National economy
- National income
- National output
- Natural Monopoly
- Natural rate of unemployment
- Net Export effect
- Net exports
- NGO (non-governmental organization)
- Nominal GDP
- Nominal interest rate
- Non-convertible currencies
- Normal Good
- Normal Profit
- Normative statement
- Official reserves
- Oligopoly
- Open market operations
- Opportunity cost
- Per unit tax
- Perfect Competition
- Perfectly elastic Demand
- Perfectly inelastic Demand
- Phillips Curve
- Positive statement
- Potential output
- Poverty Cycle (Poverty trap)
- Preferential trade agreement
- Price
- Price ceiling
- Price discrimination
- Price Elasticity of Demand (PED)
- Price Elasticity of Supply (PES)
- Price floor
- Price level
- Price mechanism
- Private sector
- Producer surplus
- Product market
- Production possibilities curve
- Productive efficiency
- Productivity
- Profit
- Profit maximization
- Progressive tax
- Proportional tax
- Protectionism
- Public good
- Public sector
- Quantity
- Quantity theory of money
- Quota
- Rational expectations theory
- Rationing
- Real GDP
- Real interest rate
- Recession
- Recessionary gap
- Regressive tax
- Relative poverty
- Rent
- Required reserves
- Resource market
- Revaluation
- Scarcity
- Seasonal unemployment
- Self-correction
- Services
- Shift
- Short run aggregate supply
- Short-run
- Short-run Economic growth
- Shortage
- Shut-down price
- Shut-down rule
- Social science
- Socially optimal output
- Soft loan
- Specialization
- Speculation
- Spending multiplier
- Stagflation
- Sticky-wages
- Structural unemployment
- Subsidy
- Substitute
- Substitution effect
- Supply
- Supply shock
- Surplus
- Sustainability
- Sustainable development
- Tariff
- Tax
- Tax incidence
- Tax multiplier
- Terms of Trade
- The Basic Economic Questions
- The International Monetary Fund (IMF)
- Tied aid
- Total cost
- Total Product
- Total Revenue
- Total Revenue Test of PED
- Trade creation
- Trade deficit
- Trade diversion
- Trade surplus
- Tradeable permits
- Tragedy of the commons
- Transfer payments
- Under-employment
- Unemployment
- Unemployment rate
- Unit elastic Demand
- Utility
- Utility Maximization Rule
- Variable Cost
- Veblen good
- Velocity of money
- Voluntary Export Restraints
- Wage
- Wealth
- World Bank
- World Trade Organization (WTO)