Public and Private Sector

The Private Sector

the part of the UK economy that is operated by businesses owned by shareholders or private individuals

The Public Sector

the part of an economy that is controlled by the government

Sole Trader

business owned and operated by one person

Partnership

a business in which two or more persons combine their assets and skills

Private Limited Company

a business owned by shareholders with limited liability but whose shares cannot be bought by or sold to the general public

Public Limited Company

a limited company, often a large business, with the legal right to sell shares to the general public - share prices are quoted on the national stock exchange

Co-Operative

business wholly owned by its employees with the emphasis on group decision making.

Friendly Societies

working-class self-help groups to provide insurance, funerals, and social pleasure

Charities

non-profit social enterprises that provide voluntary support for good causes

Merit Goods

a product or service that is offered to society on the basis of how deserving it is of public finance, rather than based on profit motives (e.g education and healthcare)

Non-Rivalry

one consumer using the product or service does not stop other consumers using the same product/service

Non-Excludability