Vocab
Bonds
a fixed-income financial instrument representing a loan made by an investor to a borrower
Franchise
a business arrangement where a owner (franchisor) licenses their trademark, products, services, and operating system to an independent party (franchisee) in exchange for fees
Depreciation
an accounting method that allocates the cost of a tangible asset—such as machinery, vehicles, or buildings—over its useful life, reflecting its decline in value due to wear, tear, or obsolescence
Crowdfunding
the practice of funding projects, businesses, or causes by raising small amounts of money from a large number of people, typically via online platforms.
Nonprofit organization
a business entity organized for purposes other than generating profit for owners or shareholders, such as serving a public, social, or charitable mission
Credit Union
A credit union is a not-for-profit, cooperative financial institution owned and controlled by its members rather than shareholders.
Collective Bargaining
the negotiation process between employers and a group of employees (usually represented by a union) to determine terms of employment, such as wages, benefits, hours, and safety policies
Boycott
the negotiation process between employers and a group of employees (usually represented by a union) to determine terms of employment, such as wages, benefits, hours, and safety policies
Closed shop
a form of union security agreement where an employer agrees to hire only members of a specific labor union, and employees must maintain that union membership to remain employed
Right to Work Laws
state-level policies that prohibit union security agreements, meaning employees in unionized workplaces cannot be compelled to join a union or pay union dues/fees as a condition of employment
Minimum wage
the lowest hourly rate an employer can legally pay employees for their labor
Federal Reserve System
the central bank of the United States, created by Congress in 1913 to provide a safer, more stable monetary and financial system
Federal Deposit Insurance Corporation
an independent U.S. government agency that protects depositors against the loss of their insured bank deposits if an insured bank or savings association fails
Certificate of Deposit
a safe, low-risk savings account offered by banks or credit unions that pays a fixed interest rate on a lump sum of money for a set period, known as the "term"
Pension
a retirement plan, usually sponsored by an employer or union, that provides a regular, fixed income to an employee after they stop working.
Individual Retirement Account
a tax-advantaged, personal savings account that allows individuals to save for retirement independently of an employer.
401(k) Plan
a tax-advantaged, employer-sponsored retirement savings account that allows employees to invest a portion of their paycheck before or after taxes.
Dow Jones Industrial Average
a major stock market index that tracks the performance of 30 large, publicly traded “blue-chip” companies in the United States.
Standard and Poor's 500
a stock market index tracking the performance of 500 of the largest publicly traded companies in the United States.
Gross Domestic Product
the total monetary value of all final goods and services produced within a country's borders in a specific time period, usually a year or a quarter