Bankruptcy and Capitalism Quiz

Bankruptcy = A formal proceeding in the court system that helps individuals and businesses eliminate their debts and repay their creditors. Capitalism = An economic system where companies are privately-owned, versus being owned by the government, and that assumes companies are built with a purpose of creating economic value through innovation, driven by a profit-motive, and where prices are set by the market via the ebb and flow of supply and demand. Career Risk = The risk of a negative outcome in one's career due to action or inaction, for example, loss of income and lack of certain types of experiences. Cyber Security = The protection of networks, devices, and data from unauthorized access or criminal use, and the practice of ensuring the confidentiality, integrity, and availability of information.

Entrepreneur = Someone who identifies an opportunity by creating a solution to a problem, starts a business, assumes the personal and financial risk (and rewards) of the venture, and strives for constant improvement in an effort to grow the business and improve society. Financial Risk = The risk that financial stakeholders will lose money. Industry Risk = The chance that a set of factors within an industry drags down the industry’s overall performance, for example, increased taxes or tariffs on the automobile industry may adversely affect the sales and profits of the automobile producers. Inflation = The increase in the general level of prices in an economy.