Whatever Happened to Justice Ch 10

A situation where both parties involved in a trade value what they receive more than what they gave up, resulting in a mutually beneficial exchange.

The gradual decline or deterioration of a system or process, like a car needing repairs or food spoiling.

The ability to produce goods and services more efficiently over time, leading to economic growth and higher living standards.

The ability of businesses to compete effectively in the global marketplace.

A sustained increase in the purchasing power of individuals or households over time.

The amount of money earned by workers, adjusted for inflation to reflect actual purchasing power.

A period of economic downturn characterized by decreased economic activity, job losses, and lower production.

The process by which individuals and businesses make decisions about production, consumption, and trade based on their perceived value and expected gains. It involves weighing the costs and benefits of various options, seeking to maximize their overall well-being, and judging if an exchange is worthwhile.

The overall improvement in the well-being of a society resulting from the sum of all the profits generated through free trade. It represents progress in terms of increased abundance, better living standards, and advancement in technology and innovation.

The fact that economic calculations are imperfect and prone to mistakes, leading to occasional losses in trade. This is due to limited information, unpredictable factors and human error in decision-making.

The driving force behind economic activity. Individuals and businesses act based on their beliefs about gains, weighing the costs against the potential benefits. This mental process guides choices and actions in the marketplace.

Profits that do not necessarily lead to a clear improvement in overall well-being. This can occur when gains are only temporary or result in unintended consequences.

The fundamental basis of economic progress, highlighted by the principle that free trade promotes mutual benefit and improvement in well-being for both parties involved.

The two fundamental laws that, according to the text, led to America's great progress. They are the principles of non-interference with others and non-encroachment on property rights. By enabling free trade and economic calculation, these laws paved the way for prosperity and advancement.