| A | B |
|---|
| Capital | Wealth used to produce goods and services. |
| Capitalist | One who controls and uses the capital by which goods and services are produced under a free enterprise system. |
| Free Enterprise System | An economic system based on private ownership |
| Entrepreneur | A person who organizes, operates, and assumes the risk of a business enterprise. |
| Laws of Supply and Demand | A basic feature of the capitalist economy; when supplies of goods, become plentiful, prices tend to drop; when supplies become scarcer, prices tend to rise. |
| Monopoly | A firm that is the only source of a product or service. |
| Proletariat | In Marxist terms, the workers in a capitalist system |
| Bourgeoisie | In Marxist terms, the social class of the capitalists. |
| Welfare State | A government that assumes the role of promoter of citizen welfare through programs sponsored by the government. |
| Market Economy | Economic system in which the government's role is a limited one and key decisions are made by private individuals and companies through the give and take of the marketplace. |
| Command Economy | Economic system in which the government directs the economy. |
| Five-Year Plan | Attempt to combine large scale centralized planning with the public ownership of the means of production as the basis for a nation's economic advancement; used in Soviet Union. |
| Collectivization | Stalin's plan of combining small peasant farms. |
