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Great economic problem
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The great economic problem is to arrange our limited resources to satisfy as many of our wants as possible
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Speculation
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The attempt to profit from future price changes
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Futures
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Standardized contracts to buy or sell specified quantities of a commodity or financial instrument at a specified price with delivery set at a specified time in the future
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Prediction market
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A prediction market is a speculative market designed so that prices can be interpreted as probabilities and used to make predictions
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Price ceiling
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A price ceiling is a maximum price allowed by law
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Deadweight loss
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A deadweight loss is the total of lost consumer and producer surplus when not all mutually profitable gains from trade are exploited. Price ceilings create a deadweight loss.
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Rent control
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A rent control is a price ceiling on rental housing
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Price floor
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A price floor is a minimum price allowed by law
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