Introduction to Business (OpenStax) Final Exam
Mixed economic systems Economies that combine several economic systems; for example, an economy
where the government owns certain industries but others are owned by the
private sector.
Monopoly the market structure in which a single firm accounts for all industry sales of a
particular good or service.
National debt The accumulated total of all of the federal government's annual budget deficits.
National deficit The accumulated total of these past deficits
Oligopoly A market structure in which a few firms produce most or all of the output and in
which large capital requirements or other factors limit the number of firms.
Profit The money left over after all costs are paid.
Risk The potential to lose time and money or otherwise not be able to accomplish an
organization's goals.
Services Intangible offerings of businesses that can't be held, touched, or stored.
Socialism An economic system in which the basic industries are owned either by the
government itself or by the private sector under strong government control.
Standards of living A country's output of goods and services that people can buy with the money
they have.
Supply and Demand the amount of a commodity, product, or service available and the desire of
buyers for it, considered as factors regulating its price.
Unemployment the state of being unemployed
cyclical unemployment Unemployment that occurs when a downturn in the business cycle reduces the
demand for labor throughout the economy.
frictional unemployment Short-term unemployment that is not related to the business cycle.
seasonal unemployment Unemployment that occurs during specific seasons in certain industries.
structural unemployment Unemployment that is caused by a mismatch between available jobs and the
skills of available workers in an industry or region; not related to the business
cycle.
, Introduction to Business (OpenStax) Final Exam
unemployment rate The percentage of the total labor force that is not working but is actively looking
for work.
Ethics is a set of moral standards for judging whether something is right or wrong.
Ethical Conduct conducting yourself with others using the principles of honesty, integrity, fairness,
and good-faith
Employee empowerment Participative and free-rein leaders use a technique called empowerment to share
decision-making authority with subordinates. Empowerment means giving
employees increased autonomy and discretion to make their own decisions, as
well as control over the resources needed to implement those decisions. When
decision-making power is shared at all levels of the organization, employees feel
a greater sense of ownership in, and responsibility for, organizational outcomes.
Economic responsibility ensuring an economic advantage both to the region from where the purchase
arrived and to the region where it is marketed
code of ethics A set of guidelines prepared by a firm to provide its employees with the
knowledge of what the firm expects in terms of their responsibilities and behavior
toward fellow employees, customers, and suppliers.
corporate philanthropy The practice of charitable giving by corporations; includes contributing cash,
donating equipment and products, and supporting the volunteer efforts of
company employees.
corporate social responsibility (CSR) The concern of businesses for the welfare of society as a whole; consists of
obligations beyond those required by law or contracts.
deontology A philosophy in which a person will follow his or her obligations to an individual or
society because upholding one's duty is what is ethically correct.
ethical issue A situation where a person must choose from a set of actions that may be ethical
or unethical.
ethics A set of moral standards for judging whether something is right or wrong.
justice What is considered fair according to the prevailing standards of society; an
equitable distribution of the burdens and rewards that society has to offer.
social investing The practice of limiting investments to securities of companies that behave in
accordance with the investor's beliefs about ethical and social responsibility to
encourage businesses to be more socially responsible.,
stakeholders Individuals or groups to whom a business has a responsibility; include
employees, customers, the general public, and investors.
strategic giving The practice of tying philanthropy and corporate social responsibility efforts
closely to a company's mission or goals and targeting donations to the
communities where a company does business.
Mixed economic systems Economies that combine several economic systems; for example, an economy
where the government owns certain industries but others are owned by the
private sector.
Monopoly the market structure in which a single firm accounts for all industry sales of a
particular good or service.
National debt The accumulated total of all of the federal government's annual budget deficits.
National deficit The accumulated total of these past deficits
Oligopoly A market structure in which a few firms produce most or all of the output and in
which large capital requirements or other factors limit the number of firms.
Profit The money left over after all costs are paid.
Risk The potential to lose time and money or otherwise not be able to accomplish an
organization's goals.
Services Intangible offerings of businesses that can't be held, touched, or stored.
Socialism An economic system in which the basic industries are owned either by the
government itself or by the private sector under strong government control.
Standards of living A country's output of goods and services that people can buy with the money
they have.
Supply and Demand the amount of a commodity, product, or service available and the desire of
buyers for it, considered as factors regulating its price.
Unemployment the state of being unemployed
cyclical unemployment Unemployment that occurs when a downturn in the business cycle reduces the
demand for labor throughout the economy.
frictional unemployment Short-term unemployment that is not related to the business cycle.
seasonal unemployment Unemployment that occurs during specific seasons in certain industries.
structural unemployment Unemployment that is caused by a mismatch between available jobs and the
skills of available workers in an industry or region; not related to the business
cycle.
, Introduction to Business (OpenStax) Final Exam
unemployment rate The percentage of the total labor force that is not working but is actively looking
for work.
Ethics is a set of moral standards for judging whether something is right or wrong.
Ethical Conduct conducting yourself with others using the principles of honesty, integrity, fairness,
and good-faith
Employee empowerment Participative and free-rein leaders use a technique called empowerment to share
decision-making authority with subordinates. Empowerment means giving
employees increased autonomy and discretion to make their own decisions, as
well as control over the resources needed to implement those decisions. When
decision-making power is shared at all levels of the organization, employees feel
a greater sense of ownership in, and responsibility for, organizational outcomes.
Economic responsibility ensuring an economic advantage both to the region from where the purchase
arrived and to the region where it is marketed
code of ethics A set of guidelines prepared by a firm to provide its employees with the
knowledge of what the firm expects in terms of their responsibilities and behavior
toward fellow employees, customers, and suppliers.
corporate philanthropy The practice of charitable giving by corporations; includes contributing cash,
donating equipment and products, and supporting the volunteer efforts of
company employees.
corporate social responsibility (CSR) The concern of businesses for the welfare of society as a whole; consists of
obligations beyond those required by law or contracts.
deontology A philosophy in which a person will follow his or her obligations to an individual or
society because upholding one's duty is what is ethically correct.
ethical issue A situation where a person must choose from a set of actions that may be ethical
or unethical.
ethics A set of moral standards for judging whether something is right or wrong.
justice What is considered fair according to the prevailing standards of society; an
equitable distribution of the burdens and rewards that society has to offer.
social investing The practice of limiting investments to securities of companies that behave in
accordance with the investor's beliefs about ethical and social responsibility to
encourage businesses to be more socially responsible.,
stakeholders Individuals or groups to whom a business has a responsibility; include
employees, customers, the general public, and investors.
strategic giving The practice of tying philanthropy and corporate social responsibility efforts
closely to a company's mission or goals and targeting donations to the
communities where a company does business.
