Economics - Micro Vocab 1

Front

A business owned and run by one person

Back

sole proprietorship

Front

Business organization with at least one inactive partner

Back

limited partnership

Front

Business organization where all partners share management and financial responsibilities.

Back

partnership

Front

Business organization recognized as a separate legal entity with individual rights.

Back

corporation

Front

A firm ceases to exist when the owner dies, quits, or sells the business.

Back

limited life

Front

Market with many informed buyers and sellers exchanging identical products

Back

perfect competition

Front

Advertising and promotions to show one product as superior to another.

Back

non-price competition

Front

Market structure with few large sellers dominating the industry

Back

oligopoly

Front

Formal agreement to set prices or cooperate

Back

collusion

Front

Market situation with a single seller and no close substitutes

Back

monopoly