| A | B |
|---|
| Partnership | Business that is owned by two or more people who are trying to pool their resources. |
| Corporation | Business that is owned by a great number of stockholders who share in the profits of the business yet risk only what they have invested. |
| Stock/Share | Piece of ownership in a corporation |
| Dividend | Piece of the profits from a corporation. |
| Limited Liability | Economic idea that a person only risks the amount they have invested within a corporation. |
| Business Cycle | Ups and downs of the economy |
| GDP | Value of all the goods and services produced in the nation each year--used as a measure of economic growth. |
| Inflation | General rise in the value of goods and services--rise in inflation caused value of money to decrease. |
| CPI | Survey of many goods and services that are compared to the same goods and services over time to measure the increase or decrease in prices. |
| Fiscal policy | How the govt. taxes and spends its revenue. |
| Monetary policy | How the govt. regulates the amount of money in circulation. |
| Tight Money policy | Policy of allowing less money to be created within the economy--usually through higher interest rates. |
| Easy Money policy | Policy of allowing more money to be created within the economy--usually through lower interest rates. |
| Monopoly | Business that controls most or all the supply of a particular good or service. |
| Merger | Two or more businesses becoming one larger business. |
