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Chapter 2

Horizontales
A market for the factors of production, such as labor, capital, natural resources, and entrepreneurial ability.
The highest valued alternative that must be given up to engage in an activity.
Suppliers of goods and services
Labor, capital, natural resources, and other inputs used to make goods and services.
A group of buyers and sellers of a good or service and the institution or arrangement by which they come together to trade.
Verticales
The ability of an individual, a firm, or a country to produce a good or service at a lower opportunity cost than competitors.
The individuals in a home, who are suppliers of factors of production.
The act of buying and selling.
A market for goods - such as computers - or services - such as medical treatment.
A curve showing the max attainable combinations of 2 goods that can be produced with available resources and current technology. (Abbreviation)