Economically, when freedom under the rule of law is applied to the sphere of production and trade, its result is the free market in goods, services, relationships, and ideas.
Economics is the science of production and trade under a division of labor (market) society.
The economic actor — the entity that performs all economic decisions and actions — is the individual.
The economic value of a good or service is what an individual would exchange for a given good or service.
Production is the act of creating — shaping materials into values –– goods and services for future consumption.
Consumption is the act of consuming or using (up) values.
Wealth is a material good or service that has value to human life (that has economic value.)
In a division of labor society, individuals create values for future trade as opposed to self-consumption.
Trade is the act of voluntarily exchanging one value for another. (Theft is when the value is exchanged involuntarily).
The price of a good or service are the values it is exchanged for.
Money is an asset used in a division of labor society as a medium for indirect exchange.
A free-market is a market free from the intiation of physical force, where all exchanges are voluntary.
Market competition is a peaceful form of cooperation.
A business (enterprise) is an organization that creates products/services to sell on the market with the goal of making a profit for its owners.
A business makes a financial profit/loss when its revenues are more/less than its costs.
Savings is wealth that is not consumed.
Capital is savings from production reinvested in an industry to produce wealth.
A capitalist (or entrepreneur) invests (and risks) capital in a business concern in the hopes of earning a profit in the future.