Unit 2 Vocabulary

Financial obligation of a company or business owner to pay for any business losses

• liability

• immunity

• asset

• advantage

Business owned and managed by one person

• sole providership

• sole solution

• sole suspension

• sole proprietorship

How different industries are classified based on the amount of competition

• market resource

• market structure

• market

• market bank

Many buyers and sellers in an industry selling identical goods

• monopolistic competition

• monopoly

• oligopoly

• perfect competition

Diagram or model that shows the flows of goods/services, resources and money in the economy

• circular building

• circular differentiation

• circular flow

• circular reasoning

Market where households sell and businesses buy

• product market

• resource market

• firm market

• individual market

Market where businesses sell and households buy

• product market

• resource market

• firm market

• individual market

Business organization with two or more owners

• partnership

• sole proprietorship

• corporation

Complex business organization owned by stock or share holders

• partnership

• corporation

• sole proprietorship

• monopoly

One seller controls all the supply of a unique good or service

• oligopoly

• monopolistic competition

• pure competition

• monopoly