Unit 3 Business and Labor

The legally bound obligation to pay debts

• Liability

• Royalties

• Equilibrium Wage

• Corporation

A legal entity owned by individual stockholders

Conglomerate

• 1. A business owned and managed by a single individual 

• 1. Partnership in which only one partner is required to be a general partner

• 1. Business combination merging more than three businesses that make unrelated products

• 1. An organization of workers that tries to improve working conditions, wages, and benefits for its members

Partnership in which partners share equally in both responsibility and liability

Sole Proprietorship

• 1. All nonmilitary people who are employed or unemployed

• 1. A business owned and managed by a single individual 

• 1. Partnership in which partners share equally in both responsibility and liability

• 1. Institution that functions much like a business, but does not operate for the purpose of generating profits

1. The combination of two or more firms involved in different stages of producing the same good or service

Horizontal Merger

• 1. The combination of two or more firms involved in different stages of producing the same good or service

• 1. Partnership in which only one partner is required to be a general partner

• 1.  Institution that functions much like a business, but does not operate for the purpose of generating profits

• 1. The combination of two or more firms competing in the same market with the same good or service

Partnership in which only one partner is required to be a general partner

Royalties

• Retail outlet owned and operated by consumers

• 1. Share of earnings given as payment

• The legally bound obligation to pay debts

• 1. The wage rate that produces neither an excess supply of workers nor an excess demand for workers in the labor market

1. Institution that functions much like a business, but does not operate for the purpose of generating profits