Economics Vocab Part II

In using goods and services. Consumer preferences and price determine what is purchased.

• Competition

• Proprietorship

• Consumption

• Consumer Sovereignty

Markets that are allowed to operate without undue interference from the government.

• Competition

• Partnership

• Free Markets

• Entrepreneur

Individuals and businesses have the right to own personal property as well as the means of production without undue interference from the government.

• Private Property

• Corporation

• Competition

• Free Markets

Earnings after all expenses have been paid.

• Consumer Sovereignty

• Profit

• Consumption

• Proprietorship

Rivalry between producers/sellers of a good or service results in better quality goods and services at a lower price

• Consumption

• Consumer Sovereignty

• Profit

• Competition

Through their purchases, consumers determine what goods and services will be produced.

• Consumer Sovereignty

• Private Property

• Competition

• Corporation

A form of business organization with one owner who takes all the risks and the profits.

• Partnership

• Corporation

• Proprietorship

• Entrepreneur

A form of business organization with two or more owners who share the risks and the profits.

• Corporation

• Partnership

• Entrepreneur

• Proprietorship

A form of business organization that is authorized by law to act as a legal person regardless of the number of owners. Owners share the profits.  Owner liability is limited to investment.

• Partnership

• Owner Investment

• Proprietorship

• Corporation

A person who takes a risk to produce goods and services in search of profit.

• Entrepreneur

• Profit Sharing

• Corporation

• Corporation