2.5 Benefits of Free Enterprise

interest group

a private organization that tries to persuade public officials to act in ways that benefit its members

public interest

concerns of society as a whole

public disclosure laws

laws requiring companies to provide information to consumers about their products and services

patriotism

love of one's country

macroeconomics

study of economic behavior and decision-making of nations, whole economies

microeconomics

study of economic behaviors and decision-making in small units such as households and firms

profit motive

the incentive that drives individuals and business owners to improve their material well-being

eminent domain

the night of the government to take private property for public use

open opportunity

the principle that anyone can compete in the marketplace

legal equality

the principle that everyone has the same legal rights

private property rights

the principle that people have the right to control their possessions and use them as they wish

free contract

the principle that people may decide what agreements they want to enter into

voluntary exchange

the principle that people may decide what, when, and how they want to buy and sell