| A | B |
|---|
| free enterprise | the idea that individuals and and private businesses are free to operate for profit by competing with others |
| supply and demand | an economic theory that when a large amount of a product is avaliable without much demand the prices will go down |
| entrepreneurs | people who take the risks of success or failure in a business enterprise |
| capital | money for operating a business |
| corporations | businesses formed by groups of investors who buy shares of stock in a company |
| dividends | share of the profits of a company |
| pool | an agreement by a group of companies to divide up a market and control the prices |
| trust | stockholders from a number of companies give their stock to a board of trustees and in return got certificates |
| laissez-faire | french term-an economy in which the government does not make rules for business |
| gospel of wealth | andrew carnegie's idea that wealthy people should use some of their money for the good of society |
| social darwinism | refers to the idea that life was a struggle and only the fittest survived |
| gold standard | only gold was used to back paper money |
| cooperative | businesses owned and operated by people who use its services |
| initiative | a method by which citizens could propse a new law at any time |
| referendum | a method that allowed citizens to vote to approve or defeat any bill brought up by legislature |
| recall | a way for citizens to vote on removing elected officials from public office |
| graduated income tax | a tax system in which people with more money pay higher taxes |
| labor unions | organized groups of workers that bargain with business owners on behalf of all the workers |
| strikes | a refusal by workers to work until the company's owners agree to their demands or offer a compromise |
| anarchists | people who want to do away with the governmernt |
