Vocab 1
Things you own
Assets
money you earn/ bring in
income
the chance you might lose your money
RISK
making your money work for you
investments
when you owe money to someone else
debt
Fees issued by the governments in exchange public services
taxes
savings account set up by the U.S. government for people when they retire or become disabled and can’t work
social security
savings plan offered by employers in the US
401K
spreading your investments across different types of assets to help reduce risk
Diversification
Rewards or bonuses that companies give to their shareholders as a way of sharing the profit they are generating
Dividends
Net Worth
Economic system where the government controls the means of production
Socialism
ability to borrow money or access good or services with the promise to
pay back later
Credit
Protects you in the event of an unforeseen accident
Insurance
Things you spend your money on to get something in return
Expenses