Chapter 25 Section 3,4

Question 1

Stock

Answer 1

Right of ownership in a company called a corporation

Question 2

Corporation

Answer 2

Business owned by stockholders who share in its profits but are not responsible for its debts

Question 3

Laissez faire

Answer 3

Economic theory that argues that government should not interfere with business affairs

Question 4

Adam Smith

Answer 4

Philosopher who defended laissez faire economics

Question 5

Capitalism

Answer 5

Economic system in which people invest money to make a profit

Question 6

Utilitarianism

Answer 6

Belief that an idea is only as good as it is useful

Question 7

Socialism

Answer 7

Belief that businesses should be owned by society as a whole

Question 8

Karl Marx

Answer 8

Economic thinker who wrote about a radical form of socialism

Question 9

Communism

Answer 9

Form of socialism in which all production is owned by the people

Question 10

Union

Answer 10

Organized groups of workers that bargain with business owners to get better pay and working conditions

Question 11

Strike

Answer 11

Organized refusal to work