Business Ownership
2 or more owners; share financial risk, debt, and profits.
What are the aspects of a partnership?
1. Individuals, households, and businesses
2. Government
2. Who controls the Public Sector?
The bank of our government and other banks.
What is the Federal Reserve?
Keep prices low and quality high.
Why is marketplace competition important?
1. Too much money in the economy.
2. Too less money in the economy.
1. What is inflation?
2. What is recession?
A person who takes a risk to produce and sell goods and services in search of a profit.
What is an entrepreneur?
The individuals, businesses, and government share making economic decisions.
What is a mixed economy?
Chairperson
Who is the leader of the federal reserve?
Federal Trade Commission (FTC) and Federal Communication Commission (FCC)
Which government agencies establish and enforce antitrust legislation?
Increase taxes, increase government borrowing, and decrease government spending.
What does the government do during an inflation?
1 person takes all risk, debt, and profit; HIGH RISK
What are the aspects of a proprietorship?
Businesses where individuals and businesses save, invest, and get financial capital.
What is a private financial institution (PFI)?
Coins, currency, checks, and debit cards.
What are the types of money?
Federal Trade Commission (FTC)
Which government agency enacts policies that encourage global trade?
Decrease taxes, decrease government borrowing, and increase government borrowing.
What does the government do during a recession?
Many owners called stockholders or shareholders share risk, debt, and profit with many people;LOW RISK
What are the aspects of a corporation?
What can financial capitals be used for?
Money acts as a medium of exchange, store of value, and measure of value.
Why use money instead of trading?
Small Business Administration (SBC)
Which government agency supports business start-ups?
A lot of government control.
What is a command economy?
Your liability (responsibility) is limited to your investments.
What is one pro about being part of a corporation?
They facilitate an exchange of money between savers and borrowers. They receive deposits and make loans.
What do PFIs do?
Maintain the value of the dollar, regulate banks, and influence money supply and interest rates.
What does the federal reserve do?
1. OSHA and EEOC
2. EPA
3. FDA and CPSC
4. FTC and SEC
Which agencies...
1. Protect Labor Rights?
2. Protect the Environment?
3. Protect Public Health and Safety?
4. Protect Consumer and Investor Rights?
Government, individual, and business decisions.
What is a mixed economy?