economics vocabulary set 3

The share of ownership in a corporation entitles the buyer to a certain part of the future profits and assets of the corporation.

• stocks

• bonds

• mutual funds

• rate of return

You loan an amount of money to the organization issuing the ____ at a certain interest rate for a certain period of time. When the ____ matures, you get back the initial investment plus interest.

• stocks

• bonds

• mutual funds

• stock exchange

An investment company that pools the money of many individuals to buy stocks, bonds, or other investments.

• stocks

• bonds

• mutual funds

• rate of return

The ratio of money you gain on an investment in relation to the amount of money that was invested.

• stocks

• bonds

• mutual funds

• rate of return

A place where stocks are bought and sold.

• stock exchange

• credit union

• federal reserve

• fair credit reporting

The largest in the world in terms of the amount of money traded.

• Tokyo stock exchange

• New York stock exchange

• London stock exchange

• Shanghai stock exchange

An investor anticipates a decline in the value of a stock.

• bear trader

• bull trader

• stockholder

An investor anticipates an increase in the value of a stock.

• bear trader

• bull trader

• stock exchange

• stockholder

Corporate profits are paid to stockholders on a per-share basis.

• stock

• unlimited

• dividend

• bond

A business owned by two or more persons.

• sole proprietorship

• corporation

• unlimited life

• partnership