| A | B |
|---|
| Industrial Revolution | Great increase in machine production that began in England in the 18th Century |
| enclosure | large closed-in field for farming |
| crop rotation | planting a different crop in a different field each year |
| industrialization | process of developing machine production of goods |
| factors of production | conditions needed to produce goods and services |
| factory | building where goods are made |
| entrepreneur | person who organizes, manages, and takes on the financial risk of a business enterprise |
| urbanization | city building and the movement of people to cities |
| middle class | a social class of skilled workers, professionals, business people, and wealthy farmers |
| stock | right of ownership in a company called a corporation |
| corporation | business owned by stockholders who share in its profits but are not responsible for its debts |
| laissez faire | economic theory that argues that governments should not interfere with business affairs |
| Adam Smith | Philosopher who defended laissez-faire economics |
| capitalism | economic system in which people invest money to make a profit |
| utilitarianism | belief that an idea is only as good as it is useful |
| socialism | belief that businesses should be owned by society as a whole |
| Karl Marx | Economic thinker who wrote about a radical form of socialism |
| communism | form of socialism in which all production is owned by the people |
| union | organized groups of workers that bargainwith business owners to get better pay and working conditions |
| strike | organized refusal to work |
