chapter dos of principles

One way that competition helps to build a prosperous society is by

creating new jobs.

Changes in the market that cause prices to go up or down, products to change, and businesses to succeed or fail are examples of __________ risks.

economic

A popular product is said to be

in demand

Alex owns a guitar, several books, a car, and a telescope. Alex's possessions are examples of

private property.

Gross profit shows business owners the difference between what they've

spent and received.

One of the freedoms provided to individuals by the private enterprise system is the freedom to choose

where they will work.

Management decides to hold its annual meeting in one U.S. city rather than another because of crime in that city. This is an example of __________ the risk.

avoiding

Carefully selecting goods or services to sell is an example of handling business risks by __________ the risk.

controlling

Private enterprise is based on the idea that everyone is better served when

individuals are free to set their own goals.

Offering high quality, large assortments, and free shipping are examples of

nonprice competition.