Economics Term

Economics – Economics is the scientific study of the means of producing and distributing goods and services so that they may be consumed by others.

Production – Production is the creation of a good or service that has value to another individual.

Distribution – Distribution is the method of getting the goods to the individuals who will use them.

Consumption – The actual use of the goods that are produced is what is known as consumption. Often times, consumption produces some form of waste.

Goods – Goods are the products that are desired by individuals.

Services – Services are processes that are desired by individuals.

Consumer – The consumer is the individual who will use the goods or services.

Producer – The producer is the individual who will create the goods or services.

Household – The household is the independent unit of customers.

Government – A government is a formal body which is in charge of creating and enforcing laws within a state.

Developed – Developed nations are those which meet certain criteria of economic measurement including gross domestic product (GDP) per capita, industrialization, etc.

Underdeveloped – An underdeveloped nation is one which has not yet organized, nor begun to organize in terms of job growth, industrialization, health care, etc.