Entrepreneurship and Leadership

  VOCABULARY ITEM DEFINITION Balance-sheet A report that explains, for a period of time, the financial situation of a business taking into account the investment (assets), the debt (liabilities) and the resources given by the entrepreneur (equity) Sanitary-permit Is issued by the local health authority for an establishment to operate. VAT Value Added Tax VAT (IVA in Spanish) Unified-Basic-Salary It is the minimum income that a worker receives as a right to the work performed during a month Living-Salary   It is the product of the result of dividing the average value of the basic family basket registered in the year being calculated for the number of family earners established by the National Institute of Statistics and Censuses (INEC) Overtime   An ordinary worker is obliged to work 8 hours...

   Microeconomics and Macroeconomics   Microeconomics and macroeconomics are two of the largest subdivisions of the study of economics wherein micro- refers to the observation of small economic units like the effects of government regulations on individual markets and consumer decision making and macro- refers to the "big picture" version of economics like how interest rates are determines and why some countries' economies grow faster than others'.   Microeconomics: Individual Markets    Those who have studied Latin know that the prefix “micro- “means “small,” so it shouldn’t be surprising that microeconomics is the study of small economic units. The field of microeconomics is concerned with things like:   consumer decision making and utility maximization firm production and profit maximization individual market equilibrium effects of government regulation on individual markets externalities and other market side effects   Micr...