Stock is an ownership interest in a corporation. If a CORPORATION issues only one type of equity security, it is called common stock, the kind normally issued by corporations. The common stockholders are the residual EQUITY in the corporation and are the only class of stockholders to have voting rights, one vote for each common share owned.

Common law, also called case law or Anglo-American law, refers to the legal system developed in the common-law courts of England since the Middle Ages and transferred to much of the English-speaking world and Commonwealth nations, including the United States. It is distinguished from the civil-law system used in continental Europe and in the areas of other continents conquered and ruled by continental nations.

The Commodity Futures Trading Commission (CFTC) regulates FUTURES and OPTIONS markets in the United States, protecting market participants against market manipulation, abusive trading practices, and FRAUD. Created in 1974, the CFTC was a response to growing use and changes in futures and options markets.

The Commodity Credit Corporation (CCC), a federally owned and operated entity, was created to stabilize, support, and protect American farmers’ income and prices.

Commercial paper is a debt instrument—that is, a PROMISSORY NOTE issued by large CORPORATIONs that are also financially strong. To minimize the risk associated with commercial paper, it is traded among only the largest, most financially stable corporations, MUTUAL FUNDS, INSURANCE companies, banks, and other large intermediaries. Commercial paper is unsecured and short-term, with maturities ranging from 30 to 270 days.

Commercial law concerns the sale and distribution of goods, the financing of credit transactions on the security of goods sold, and legal documents related to such transactions (negotiable instruments).

Section 8 of the U.S. Constitution grants Congress the power to “regulate commerce with foreign nations and among the several states, and with the Indian tribes.” This section is referred to as the “commerce clause.”

Commerce Business Daily (CBD) is a federal government publication that lists notices of proposed government procurement actions, contract awards, sales of government property, and other procurement information. A daily publication, CBD usually contains 500–1,000 notices, each of which appears only once.

Collusion is an agreement between two or more parties in an effort to fraud or deceive. Collusion is often practiced to coordinate efforts among firms, effectively lessening the degree of competition among them. As a result, collusion can be found in many areas of commerce.

Collective bargaining is the process through which representatives of UNIONs and management negotiate a labor agreement. The WAGNER ACT (National Labor Relations Act, 1935) defines collective bargaining as follows.

A closely held or closed corporation is a firm whose common stock is owned by only a few individuals (often management) and is not publicly traded.

Growing public awareness of water pollution and concern for controlling it led to enactment of the Federal Water Pollution Control Act Amendments of 1972.

The Clean Air Acts (1970, 1977, and 1990) initiated and then revised a variety of programs to reduce air pollution in the country. The acts require the Environmental Protection Agency (EPA) to set national health-based airquality standards to protect against ozone depletion, sulfur emissions, carbon monoxide, lead, and other air-borne pollutants. The 1990 revisions created the first attempt at market-based systems, POLLUTION RIGHTS, to address air pollution.

The Clayton Antitrust Act (1914) specified and forbade activities that reduced COMPETITION. The act expanded on antitrust policy efforts initiated by the SHERMAN ANTITRUST ACT (1890), which was considered by many to be not specific enough and open to considerable judicial interpretation.

Classical economics is the macroeconomic school of thought that suggests that real GROSS DOMESTIC PRODUCT (GDP) is determined by aggregate SUPPLY, while the EQUILIBRIUM price level is determined by aggregate DEMAND.

A class action is a device where large numbers of individuals whose interests are sufficiently related may bring suit. Thus it is more efficient to adjudicate their rights or liabilities as a group in a single action than to do so in a series of separate individual suits. Most class actions are called “plaintiff class actions,” although in some cases the action may be brought against a defendant class as a defendant class action.

As defined in Black’s Law Dictionary (7th ed.), Civil Rights Acts are “several federal statutes enacted after the Civil War (1861–1865) and, much later, during and after the Civil Rights movement of the 1950s and 1960s, and intended to implement and give further force to the basic rights guaranteed by the Constitution, and especially prohibiting discrimination in EMPLOYMENT and education on the basis of race, sex, religion, color, or age.”

Civil procedure refers to the rules by which civil (as opposed to criminal) legal proceedings are conducted. The Federal Rules of Civil Procedure apply throughout the FEDERAL COURTS. The rules of civil procedure in state courts can vary considerably.

The Civilian Conservation Corps (CCC) was one of the most popular “New Deal” programs initiated by the Franklin Roosevelt administration during the Great Depression.

The Civil Aeronautics Board (CAB) regulated the U.S. airline industry until 1984.

Churning is excessive trading in an investor’s portfolio to generate commissions for the stockbroker. Sometimes brokers or INVESTMENT advisors are given discretionary authority over an investor’s account. Many investors do not want to or do not have the knowledge necessary to actively manage their investments.

The chief financial officer (CFO), the highest-ranking financial executive of an organization, is responsible for all financial operations.