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Chapter 1 Vocabulary Quiz

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Across
2.Set of arrangements through which buyers and sellers carry out exchange at mutually agreeable terms (2 words)
4.Producers are unable to to meet the needs of society (2 words)
5.Rate at which goods or services are produced especially output per unit of labor.
6.Sustained increase in the economy's price level
7.The ratio of the effective or useful output to the total input in any system
9.The ability of a firm to alter the market price of a good or service. (2 words)
10.Economy-wide fluctuations in production or economic activity over several months or years (2 words)
11.How people use scarce resources to statisfy unlimited wants
12.The amount people desire exceeds the amount available for supply
Down
1.A reward offered for increased productivity
3.Incrimental, additional, or extra (2 words)
8.When a cost or benefit of economic activity falls on an unwilling third party and is ignored by the two parties conducting the transaction

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