| Question | Answer |
|---|---|
| a general increase in prices and fall in the purchasing value of money | inflation Rising inflation has eroded the purchasing power of consumers across the country. |
| to support financially, especially with public funds | subsidise The government decided to subsidise renewable energy projects to reduce carbon emissions. |
| the exclusive possession or control of the supply of a good or service | monopoly A monopoly in the telecommunications sector can lead to higher prices for consumers. |
| relating to government revenue, especially taxes | fiscal Fiscal policy adjustments were made to stimulate economic growth during the downturn. |
| the activity of buying and selling, especially on a large scale | commerce International commerce has been facilitated by advances in shipping and logistics. |
| the buying and selling of goods and services between countries or individuals | trade Free trade agreements aim to reduce barriers and promote economic cooperation. |
| income generated from business operations or taxation | revenue Tax revenue is the primary source of funding for public infrastructure projects. |
| the amount by which spending exceeds income or revenue | deficit The government's budget deficit has raised concerns about long-term fiscal sustainability. |
| an amount of something left over when requirements have been met | surplus A trade surplus occurs when a country's exports exceed its imports. |
| a tax or duty to be paid on imports or exports | tariff Imposing tariffs on imported goods can protect domestic industries but raise consumer prices. |
| a raw material or primary agricultural product that can be traded | commodity Oil remains one of the most valuable commodities in the global economy. |
| the activity of setting up and running a business, taking on financial risk | entrepreneurship Entrepreneurship is widely regarded as a key driver of economic growth and innovation. |
| the action of allocating money or resources with the expectation of profit | investment Foreign direct investment can boost employment and economic development. |
| the combining of two companies into one | merger The merger of the two banks created the largest financial institution in the region. |
| the buying of one company by another | acquisition The acquisition of the start-up allowed the corporation to enter a new market. |
| the state of being declared legally unable to pay outstanding debts | bankruptcy The company filed for bankruptcy after years of declining sales and mounting debt. |
| the practice of obtaining goods or services from an external supplier | outsourcing Outsourcing manufacturing to countries with lower labour costs is a common business strategy. |
| a reduction in the value of an asset over time | depreciation Depreciation of the national currency made imports significantly more expensive. |
| a sum of money paid regularly to shareholders from company profits | dividend Investors were pleased when the company announced an increase in its annual dividend. |
| a period of temporary economic decline with reduced trade and activity | recession The global recession led to widespread unemployment and business closures. |
| difficult economic conditions created by government measures to reduce spending | austerity Austerity measures included cuts to public services and reductions in government spending. |
| financial assistance given to a failing business to save it from collapse | bailout The government's bailout of the banking sector was highly controversial. |
| a person who arranges transactions between a buyer and a seller | broker The broker negotiated a deal that satisfied both parties involved in the transaction. |
| an economic system based on private ownership and free-market competition | capitalism Capitalism encourages competition, which can drive innovation and efficiency. |
| an association of businesses formed to control prices and limit competition | cartel The cartel artificially inflated oil prices by restricting supply to the market. |
| something pledged as security for repayment of a loan | collateral The bank required the property as collateral before approving the business loan. |
| a large corporation formed by the merging of several different firms | conglomerate The conglomerate owns businesses in technology, media, and telecommunications. |
| the preoccupation of society with the acquisition of consumer goods | consumerism Critics argue that consumerism contributes to environmental degradation and waste. |
| the removal of government regulations from an industry | deregulation Deregulation of the energy market was intended to increase competition and lower prices. |
| the value of shares issued by a company; fairness and impartiality | equity The firm raised capital by selling equity to institutional investors. |
| the action of spending funds; an amount of money spent | expenditure Government expenditure on healthcare has increased steadily over the past decade. |
| an authorisation to sell a company's goods or services in a particular area | franchise The fast-food franchise expanded rapidly into international markets. |
| an investment made to reduce the risk of adverse price movements | hedge Investors often hedge against currency fluctuations to protect international earnings. |
| something that motivates or encourages someone to do something | incentive Tax incentives were offered to attract foreign companies to invest in the region. |
| the use of borrowed capital to increase the potential return of an investment | leverage Excessive leverage in the financial sector contributed to the banking crisis. |
| the process of winding up a company and distributing its assets | liquidation The company went into liquidation after failing to secure additional funding. |
| the branch of economics dealing with individual and business decisions | microeconomics Microeconomics examines how supply and demand affect pricing in individual markets. |
| the branch of economics dealing with the economy as a whole | macroeconomics Macroeconomics analyses factors such as national output, unemployment, and inflation. |
| the action of obtaining goods or services, typically for business purposes | procurement Efficient procurement processes can significantly reduce operational costs. |
| a limited quantity of a product that may be produced, exported, or imported | quota Import quotas were imposed to protect domestic farmers from foreign competition. |
| a penalty imposed on a country for breaking international law | sanction Economic sanctions were imposed to pressure the regime into diplomatic negotiations. |
| to invest in stocks or property in the hope of gain but with risk of loss | speculate Investors who speculate on volatile markets may face significant financial losses. |
| a person with an interest or concern in a business or enterprise | stakeholder All stakeholders were consulted before the company restructured its operations. |
| the tendency of something to change rapidly and unpredictably, especially price | volatility Market volatility has increased due to geopolitical tensions and supply chain disruptions. |
| the gradual repayment of a debt over a period of time | amortisation The amortisation schedule outlines monthly payments required to repay the mortgage. |
| an increase in the value of an asset over time | appreciation Property appreciation in the city centre has been driven by high demand. |
| the simultaneous buying and selling of assets to profit from price differences | arbitrage Arbitrage opportunities arise when the same commodity is priced differently across markets. |
| an official examination of a company's financial accounts | audit An independent audit revealed discrepancies in the company's financial statements. |
| a fixed-income instrument representing a loan made by an investor to a borrower | bond Government bonds are generally considered a safe investment option. |
| an association of several companies formed for a joint purpose | consortium A consortium of technology firms collaborated to develop the new industry standard. |
| a person or company to whom money is owed | creditor Creditors demanded repayment after the firm defaulted on its loan obligations. |
| a person or institution that owes a sum of money | debtor The debtor negotiated a new repayment plan to avoid defaulting on the loan. |
| a general decline in prices, often caused by a reduction in money supply | deflation Deflation can discourage spending as consumers wait for prices to fall further. |
| to expand a business or investment portfolio into different areas | diversify Companies that diversify their product range are better protected against market downturns. |
| an official ban on trade or commercial activity with a particular country | embargo The trade embargo severely limited the country's ability to import essential goods. |
| a person who sets up a business, taking on financial risks for profit | entrepreneur The entrepreneur secured venture capital to launch her technology start-up. |
| a tax levied on certain goods and commodities produced within a country | excise Excise duties on tobacco products were raised to discourage smoking. |
| the process of taking possession of a property when mortgage payments are not made | foreclosure Thousands of families faced foreclosure during the housing market collapse. |
| working for different companies at different times rather than being permanently employed | freelance The freelance economy has grown as more professionals seek flexible work arrangements. |
| a tip given to a worker for services rendered; a retirement bonus | gratuity It is customary to leave a gratuity for good service at restaurants in many countries. |
| security or protection against a loss or financial burden | indemnity The insurance policy provides indemnity against damage caused by natural disasters. |
| the state of being unable to pay debts when they are due | insolvency The company's insolvency was caused by poor financial management and falling revenue. |
| a company's legal debts or obligations | liability Reducing long-term liabilities is essential for maintaining a healthy balance sheet. |
| the availability of liquid assets to meet financial obligations | liquidity The central bank injected liquidity into the market to prevent a credit freeze. |
| relating to money or currency | monetary Monetary policy decisions by the central bank influence interest rates and lending. |
| a loan used to buy property, secured against the value of that property | mortgage Rising interest rates have made mortgage repayments more expensive for homeowners. |
| a market dominated by a small number of large sellers | oligopoly The airline industry in many countries operates as an oligopoly with limited competition. |
| the ongoing business expenses not directly attributed to production | overheads Reducing overheads by moving to a smaller office helped the company remain profitable. |
| a regular payment made to retired employees from an investment fund | pension Pension reform is necessary to ensure financial security for an ageing population. |
| a range of investments held by a person or organisation | portfolio A diversified portfolio helps mitigate risk during periods of market uncertainty. |
| the transfer of a business or industry from public to private ownership | privatisation Privatisation of state-owned enterprises can improve efficiency but may reduce public access. |
| the degree to which a business yields profit relative to its costs | profitability The company improved profitability by streamlining operations and cutting waste. |
| a sum of money sent in payment, especially to another country | remittance Remittances from workers abroad are a major source of income for developing nations. |
| the reduction of costs or spending in response to economic difficulty | retrenchment Corporate retrenchment often involves layoffs and budget cuts during a recession. |
| tradable financial assets such as stocks and bonds | securities The securities market experienced a sharp decline following the unexpected policy announcement. |
| the state of having enough assets to cover all debts and obligations | solvency Maintaining solvency is critical for businesses to continue operating long-term. |
| a lack of activity, growth, or development in an economy | stagnation Economic stagnation combined with rising prices creates a condition known as stagflation. |
| a sum of money granted by the government to assist an industry or business | subsidy Agricultural subsidies help farmers maintain production during periods of low market prices. |
| a formal offer to supply goods or carry out work at a stated price | tender Several construction firms submitted a tender for the government infrastructure project. |
| an instance of buying or selling something; a business deal | transaction Digital payment systems have made financial transactions faster and more convenient. |
| the amount of money taken by a business in a particular period | turnover The company reported a significant increase in annual turnover compared to last year. |
| to accept financial responsibility or guarantee payment for something | underwrite Investment banks underwrite new share issues to help companies raise capital. |
| a risky or daring business enterprise or journey | venture The joint venture between the two companies expanded their market presence in Asia. |
| a useful or valuable thing or person; property owned by a company | asset The company's assets include real estate, intellectual property, and cash reserves. |
| the exchange of goods or services without using money | barter In some rural economies, barter remains a common method of conducting trade. |
| to start a business using personal finances rather than external funding | bootstrap Many successful tech companies were bootstrapped from a garage with minimal investment. |
| secret agreement for a fraudulent or deceitful purpose, especially in business | collusion Price-fixing collusion between competitors is illegal under antitrust laws. |
| relating to a reduced rate or special privilege granted as a concession | concessionary Concessionary fares on public transport benefit students and senior citizens. |
| a market dominated by two major sellers | duopoly The soft drinks industry is often described as a duopoly due to two dominant brands. |
| involving trust, especially relating to the management of money on behalf of others | fiduciary Financial advisers have a fiduciary duty to act in the best interests of their clients. |
| to seize money from a debtor's wages to satisfy a debt | garnish The court ordered the employer to garnish the employee's wages to repay the outstanding debt. |
| extremely rapid or out-of-control inflation in an economy | hyperinflation Hyperinflation rendered the national currency virtually worthless within months. |
| the amount added to the cost price to determine the selling price | markup Retailers typically apply a markup of between 50 and 100 percent on wholesale goods. |
| the transfer of a private industry or business to state ownership | nationalisation Nationalisation of the oil industry gave the government control over energy resources. |
| the practice of shielding domestic industries from foreign competition | protectionism Protectionism through high tariffs can lead to trade wars between nations. |
| the formal approval or confirmation of an agreement or treaty | ratification Ratification of the trade agreement by all member states took several months. |
| the state of being dealt with by an official receiver due to insolvency | receivership The struggling retailer was placed into receivership pending restructuring. |
| the practice of exchanging things with others for mutual benefit | reciprocity Trade reciprocity ensures that both countries benefit equally from commercial agreements. |
| payment or compensation received for services or employment | remuneration Executive remuneration packages have come under scrutiny from shareholders. |
| the state of being in short supply; insufficiency of resources | scarcity Scarcity of raw materials has driven up production costs across multiple industries. |
| an owner of shares in a company | shareholder Shareholders voted in favour of the proposed restructuring plan at the annual meeting. |
| having assets in excess of liabilities; able to pay debts | solvent The auditor confirmed that the company remained solvent despite recent losses. |
| a company controlled by a larger parent company | subsidiary The multinational operates through subsidiaries in over thirty countries worldwide. |
| a group of individuals or organisations combined for a common purpose | syndicate A banking syndicate was formed to finance the large-scale infrastructure project. |
| the levying of taxes by the government on income, property, or transactions | taxation Progressive taxation requires higher earners to pay a larger percentage of their income. |
| an estimation of the worth of something, especially a business | valuation The valuation of the technology start-up exceeded one billion dollars. |
| the selling of goods in large quantities to be retailed by others | wholesale Wholesale prices for grain have risen due to supply shortages and increased demand. |
| the payment of money from a fund or account | disbursement The disbursement of grant funds was delayed due to administrative complications. |
| the action of selling off subsidiary business interests or investments | divestiture The conglomerate announced the divestiture of its underperforming retail division. |
| the practice of lending money at unreasonably high interest rates | usury Laws against usury protect borrowers from exploitative lending practices. |
| to turn something into a commodity that can be bought and sold | commoditise The tech industry tends to commoditise innovations quickly, driving down prices. |
| the action of taking property from its owner for public use or benefit | expropriation Expropriation of private land for the highway project was met with legal challenges. |
| compensation for damage, loss, or injury suffered | indemnification The contract includes an indemnification clause protecting against third-party claims. |
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