Microsoft Word Web glossary doc

 
Feudalism: A type of economy (such as that in Europe in the Middle Ages) that is primarily 
agricultural, but productive enough to support a class of artisans and merchants. Feudal societies 
are composed of two main social classes: nobles and peasants. The nobility extracted the 
agricultural surplus from peasants through a system of tradition, mutual obligation, and (when 
necessary) brute force. 
 

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Final Products: Products (either goods or services) which are intended for final consumption.
They are distinct from intermediate products, which are products used in the production of other 
products (such as raw materials, capital goods, or producer services). 
Finance: Monetary purchasing power, typically created by a bank or other financial institution, 
which allows a company, household, or government to spend on major purchases (often on 
capital assets or other major purchases). 
Financialization: The trend under neoliberalism through which real production in the economy 
is accompanied by an increasing degree of financial activity and intermediation (including 
various forms of lending, financial assets, and securitization). One way to measure 
financialization is by the ratio of total financial assets to real capital assets in an economy. 
Fiscal Policy: The spending and taxing activities of government constitute its fiscal policy. 
Fixed Capital: Real capital which is installed permanently in a specific location, including 
buildings, infrastructure, and major machinery and equipment. 
Flat-Rate Tax: A form of income tax in which every taxpayer pays the same rate of tax on their 
personal income, regardless of their income level. It differs from a progressive tax, in which 
higher-income individuals pay a higher rate of tax.