Economics Chapter 10

a fund into which an individual annually deposits a

limited amount to have money for retirement

• IRA

• mutual fund

• money market fund

• disposable family income

the interest earned on the principal and on the interest

already earned

• simple interest

• wealth

• maturity

• compound interest

a corporation that uses its stockholders’ capital to

buy securities of other firms

• certificate of deposit

• IRA

• mutual fund

• liquidity

income that is not spent

• wealth

• savings

• maturity

• liquidity

the ease with which a form of savings can be

converted to cash

• IRA

• maturity

• wealth

• liquidity

an investment instrument in which the buyer agrees

not to withdraw his or her deposit for a period of time

• certificate of deposit

• wealth

• maturity

• mutual fund

what a family has left after paying taxes

• savings

• wealth

• disposable family income

• liquidity

anything that has value

• wealth

• certifiate of deposit

• maturity

• savings

a vehicle that allows consumers to invest savings in

short-term securities

• compound interest

• mutual fund

• money market fund

• savings

the date at which a bond is set to be redeemed at face

value

• liquidity

• maturity

• IRA

• Compound interest