Economics: Chapter 7 Key Terms

A business that is owned and managed by one person.

• Sole Proprietorship

• Collateral

• General Partnership

• Limited Partnership

A debt obligation.

• Liability

• Stock

• Horizontal Combination

• Vertical Combination

Property pledged by a borrower as security for a loan.

• Collateral

• Conglomerate Combination

• Stock

• Corporation

A partnership in which all members have equal authority and share equally in the business’s profits and losses.

• General Partnership

• Limited Partnership

• Liability

• Sole Proprietorship

A form of partnership in which some members invest money but take no part in management.

• Limited Partnership

• General Partnership

• Collateral

• Stock

A business in which a group of owners share in the profits and losses.

• Corporation

• Conglomerate Combination

• Vertical Combination

• Limited Partnership

A share of ownership in a corporation.

• Stock

• Liability

• Corporation

• General Partnership

A corporation made up of various businesses that produce the same or similar goods and services.

• Horizontal Combination

• Vertical Combination

• Conglomerate Combination

• Sole Proprietorship

A corporation made up of various businesses involved in different stages of the production process of the same good or service.

• Vertical Combination

• Horizontal Combination

• Collateral

• Liability

A corporation made up of several companies involved in different industries and markets.

• Conglomerate Combination

• General Partnership

• Sole Proprietorship

• Stock