TERMS 1-100

principle that states taxes ought to be paid by those who can best afford them

occurs when one nation can produce an item more efficiently than another

the sums that a firm owes its suppliers

the sums owed to a firm by its customers

total planned spending by consumers, business, and government to purchase the aggregate supply

all the goods and services provided by the economy

the APR is the percentage cost of credit calculated on an annual basis

report to stockholders containing pertinent financial information

laws regulating the growth and use of monopolistic power or tendencies

settling differences by allowing a third party (the arbitrator) to hand down a decision that is final and binding

a manufacturing system in which parts are assembled by moving them from one worker or machine to another

something of vaue that is owned by a firm, household, or individual

features built into the economy that put money into the economy during periods of recession and take money out during periods of inflation

financial plan in which expenses exactly equal income

summary of the flow of international transactions; statement of payments made to all other countries and payments received from all other countries

the difference between the export and import of merchandise

financial statement summarizing a firm's assets, liabilities and net worth

an appeal that suggests everybody is using a particular product

financial institution that accepts demand deposits and makes commercial loans

the exchange of one good or service for another

the reference year, with a value of 10, used in the construction of index numbers

speculators who anticipate a decline in the economy

principle of taxation that states those who benefit from a government program are the ones who ought to pay for it

list of disapproved persons

lump sums given to communities by the federal government to be spent as the community deems appropriate

elected representatives of corporate stockholders

governing body of the Federal Reserve System; establishes policies for the Fed. It consists of seven persons appointed by the President for 14-year terms

a certificate representing indebtedness, usually of a corporation or unit of government, to the holder

the peak of the business cycle; business is producing at or near capacity

a refusal to do business with a firm involved in a labor dispute

point at which income from sales equals fixed and variable expenses

in the securities industry, the buying and selling of stocks and bonds on behalf of others

a financial plan that summarizes income and expenditures over a period of time

spectators who anticipate an increase in the price of securities

the principal data-gathering agency of the federal government

periodic fluctuation in the economy

concern for keeping fair business practices

organization that produces goods or services

Samuel Gomper's principle of seeking better wages and working conditions rather than political or social reform

rules of operation for a corporation, stated in the charter, that govern the corporate officers' actions

the maximum number of units a firm can produce

something created to produce other goods and services; also money used to pay for the business operations

the increase in the value of an asset over a period of time

an economic system based on the private ownership of the factors of production, competition, and the profit motive

the amount of money coming into and going out of a firm

Latin term that means "let the buyers beware"

a law passed by Congress in 1950 that declared mergers to be illegal where they serve to "lessen competition or tend to create a monopoly

doctrine placing production decisions in the hands of government planners

certificates issued by banks guaranteeing repayment of principal at a fixed rate of interest after a specified period of time

associations of business and professional people that seek to promote the interests of the business community

a document issued by a state government granting a corporation permission to operate

a bank account against which the depositor can write checks

written orders directing a bank to pay a person or business a specific sum of money

law passed by Congress in 1914 which specified what acts would be considered "in restraint of trade"

one whose stock is not sold to the public

one in which a worker must belong to the union before they can be hired

something with monetary value pledged as security for a loan

negotiations with management by a union to prepare a labor contract

an economic sustem in which major decisions concerning the allocation of resources are made by agencies of the government

short-term notes issued by a corporation promising to repay a sum of money at a specified rate of interest

a security that represents ownership in a corporation

socialism based on the writings of Karl Marx

union organized, financed, and controlled by management

an advantage in producing an item because one's opportunity cost to produce it is lower than another's

the rivalry among buyers and among sellers in the purchase and sale of resources of products

interest computed on the principal and on the interest previously paid

effort by a third party to bring labor and management together to work out their differences on their own

combination of unrelated businesses under a single management

Thorstein Veblen's term for the tendency to buy goods and services to impress others

dollars that reflect changes in purchasing power from a base year

anyone who uses goods and/or services

retail businesses owned by members who share in the profits and/or purchase goods and services at lower cost

an agreement whereby a consumer is provided cash, goods or services now with payment spread into the future

compares present prices of commonly purchased goods and service to the prices of similar goods and services in a base year

period in the business cycle after a boom when businesses begin to reduce their spending levels

association of individuals or companies whose purpose is to perform some business function for its members

exclusive right of authors of original writing and artistic work to sell or in any way reproduce their works for their lifetime plus fifty years

a business organization created under a government charter

person with an acceptable credit rating who agrees to repay a loan if the borrower cannot

rising prices rise due to an increase in the cost of production

one of a wide variety of highly skilled workers such as carpenter, tool-and-die makers, machinists, electricians and automobile mechanics

an identification card that entitles the lawful owner to make purchases on credit

one who lends money to another

association of people with something in common that offers insured savings plans similar to those offered by other savings institutions

theory that government borrowing reduces the supply of credit for private use, pushes up interest rates, and reduces business and consumer spending

paper money and coins issued by the federal government

buying or selling foreign currencies

an organization of countries who agree to promote free trade among member but to impose a common tariff on nonmembers. Best known is the European community or Common Market

failure to meet an obligation when it comes due

excess of expenses over expected income

a decrease in the general level of prices; a period during which the purchasing power of the dollar is rising

a consumers willingness and ability to buy a product or service at a particular time and place

the graphic representation of demand

checking accounts held by commercial banks; largest component of the money supply

rising prices because demand is increasing faster than industry's ability to satisfy the demand

a table showing the quantities of a product that would be purchased at various prices at a given time

socialist economic system in which the government owns and operates many, but not all, major industries

a multiple by which the deposit of funds in the banking system will increase total deposits

the last item consumed will be less satisfying than the one before

loan from which interest is deducted in advance