Studied by 21 people
right
something guaranteed, that the government cannot take away
privilege
something a person may obtain or receive, but that the government can take away
party ideology
a party’s philosophy about the proper role of government and its consistent set of position on major issues
party identification
an individual’s attachment to a political party
conservatism
an ideology favoring more control of social behavior, fewer regulations on businesses, and less government interference in the economy
liberalism
an ideology favoring less government control over social behavior and more regulation of business in the favor of economy
libertarianism
an ideology favoring very little government regulation and intervention beyond protecting private property and individual liberty
laissez-faire economy
economic policy in which government intrude as little as possible in the economic transactions between citizens and businesses
command-and-control economy
economic policy in which the government dictates much of a nation’s economic activity, including the amount of production and prices for goods
mixed economy
economic policy in which many economic decisions are left to individuals and businesses, with the government regulating economic activity
gross domestic product (GDP)
the total value of goods and services produced by the economy
economic recession
a period of decline in economic activity, typically defined by two consecutive quarters of negative GDP growth
unemployment rate
the percentage of people actively looking for work who cannot find jobs
inflation
the rise in prices of goods and services
consumer price index (CPI)
the cost of a fixed basket of goods and services over time, used to measure the cost of living
fiscal policy
government use of taxing and spending to attempt to lower unemployment, support economic growth, and stabilize the economy
federal reserve system
board of governors, federal reserve banks, and a member banks responsible for monetary policy
monetary policy
a set of economic policy tools designed to regulate the amount of money in the economy
medicare
a federal program that provides health insurance to seniors and the disabled
medicaid
a federal program that provides health care for the poor
monetary theory
match the growth of the money supply to the growth in economic productivity
keynesianism
stimulate the economy during times of recession by spending money to encourage economic growth
supply-side theory (reaganomics, trickle-down economics)
stimulate the economy by cutting taxes to encourage businesses to grow and taxpayers to spend more money
Note 
Flashcard (175)