benefit-cost analysis Estimates and comparison of short-term and long-term benefits (gains) and costs (losses) from an economic decision.

capitalism See capitalist market economic system. Compare pure command economic system, pure free-market economic system.

capitalist market economic system Economic system built around controlling market prices of goods and services, global free trade, and maximizing profits for the owners or stockholders whose financial capital the company is using to do business. Compare pure command economic system, pure free-market economic system.

centrally planned economy See pure command economic system. 

cost-benefit analysis See benefit-cost analysis. 

discount rate Economic value a resource will have in the future compared with its present value.

economic decision Deciding (1) what goods and services to produce, (2) how to produce them, (3) how much to produce, and (4) how to distribute them to people.

Economic development Improvement of living standards by economic growth. Compare economic growth, environmentally sustainable economic development.

economic resources Natural resources, capital goods, and labor used in an economy to produce material goods and services. See natural resources.

economic system Method that a group of people uses to choose (1) what goods and services to produce, (2) how to produce them, (3) how much to produce, and (4) how to distribute them to people. See capitalist market economic system, pure command economic system, pure free-market economic system.

economy System of production, distribution, and consumption of economic goods. 

environmental justice Fair treatment and meaningful involvement of all people regardless of race, color, sex, national origin, or income with respect to the development, implementation, and enforcement of environmental laws, regulations, and policies.

Environmental revolution Cultural change involving halting population growth and altering lifestyles, political and economic systems, and the way we treat the environment so we can help sustain the earth for ourselves and other species. This involves working with the rest of nature by learning more about how nature sustains itself. See environmental wisdom worldview. Compare agricultural revolution, hunter-gatherers, industrial revolution, information and globalization revolution.

external benefit Beneficial social effect of producing and using an economic good that is not included in the market price of the good. Compare external cost, full cost. 

external cost Harmful environmental or social effect of producing and using an economic good that is not included in the market price of the good. Compare external benefit, full cost, internal cost. 

externalities Social benefits ("goods") and social costs ("bads") not included in the market price of an economic good. See external benefit, external cost. Compare full cost, internal cost.

financial resources Cash, investments, and monetary institutions used to support the use of natural resources and human resources to provide economic goods and services. Compare human resources, manufactured resources, natural resources.

full cost Cost of a good when its internal costs and its estimated short- and long-term external costs are included in its market price. Compare external cost, internal cost.

GDP See gross domestic product. 

GNI See gross national income. 

GNP See gross national product. 

gross domestic product (GDP) Total market value in current dollars of all goods and services produced within a country , usually during a year. Compare gross national product, gross world product.

gross national income (GNI) Total market value in current dollars of all goods and services produced within and outside a country during a year plus net income earned abroad by a country's citizens. Formerly called gross national product. Compare world gross product, domestic.

gross national income in purchasing power parity (GNI PPP) Market value of the GNI in terms of the goods and services it would buy in the United States. This is a better way to compare the standards of living among countries.

human capital See human resources. 

human resources Physical and mental talents of people used to produce, distribute, and sell an economic good. Compare financial resources, manufactured resources, natural resources.

intermediate goods See manufactured resources. 

internal cost Direct cost paid by the producer and the buyer of an economic good. Compare external benefit, external cost, full cost.

life cycle cost Initial cost plus lifetime operating costs of an economic good. Compare full cost. 

manufactured capital See manufactured resources. 

Manufactured resources Manufactured items made from natural resources and used to produce and distribute economic goods and services bought by consumers. These include tools,  machinery, equipment, factory buildings, and transportation and distribution facilities. Compare financial resources, human resources, natural resources.

market equilibrium See market price equilibrium point. 

market price equilibrium point State in which sellers and buyers of an economic good agree on the quantity to be produced and the price to be paid. 

natural capital See natural resources. 

natural resources The earth's natural materials and processes that sustain other species and us. Compare financial resources, human resources, manufactured resources.

per capita GNI Annual gross national income (GNI) of a country divided by its total population. See gross national income. 

per capita GNI in purchasing power parity (per capita GNI PPP) The GNI PPP divided by the total population at midyear. This is a better way to compare people's economic welfare among countries. 

per capita GNP See per capita GNI. 

poverty Inability to meet basic needs for food, clothing, and shelter.

pure capitalism See pure free-market economic system.

pure command economic system System in which all economic decisions are made by the government or some other central authority. Compare capitalist market economic system, pure free-market economic system. 

pure free-market economic system System in which all economic decisions are made in the market, where buyers and sellers of economic goods interact freely, with no government or other interference. Compare capitalist market economic system, pure command economic system. 

throwaway society See high-throughput economy. 

totally planned economy See pure command economic system. 

true cost See full cost.