Economic Policy Notes

These flashcards cover key concepts from the Economic Policy notes, focusing on definitions and explanations of important terms related to economics, policy-making, and government involvement in the economy.

Mixed Economy

An economic system combining private and public enterprise.

Monetarism

An economic theory that focuses on the control of the money supply as the key to managing the economy.

Consumer Price Index (CPI)

A measure that examines the weighted average of prices of a basket of consumer goods and services.

Fiscal Policy

Government spending and taxation policies to influence economic conditions.

Keynesian Economics

An economic theory advocating for increased government expenditures and lower taxes to stimulate demand.

Supply-Side Economics

An economic theory that advocates reducing taxes and decreasing regulation to stimulate economic growth.

Deficit

The amount by which spending exceeds revenue.

Entitlements

Government programs that provide benefits to individuals who qualify under specified eligibility criteria.

Federal Reserve System

The central banking system of the United States, responsible for implementing monetary policy.

Antitrust Policy

Legislation to prevent monopolies and promote competition in the marketplace.

Securities and Exchange Commission (SEC)

A government agency that regulates the stock market and protects investors.

Food and Drug Administration (FDA)

The agency responsible for regulating food, pharmaceuticals, and other health-related products.

Budgetary Process

The process through which government budgets are formulated and approved.

Incrementalism

A budgeting approach that suggests small, gradual changes to previous budgets.

National Labor Relations Act (Wagner Act)

A law that guarantees workers the right to engage in collective bargaining.

Monetary Policy

The process by which the central bank manages the money supply to achieve specific goals.