Home
Explore
Exams
Search for anything
Login
Get started
Home
Economics Test 5
Economics Test 5
0.0
(0)
Rate it
Studied by 15 people
Learn
Practice Test
Spaced Repetition
Match
Flashcards
Card Sorting
1/66
There's no tags or description
Looks like no tags are added yet.
Study Analytics
All
Learn
Practice Test
Matching
Spaced Repetition
Name
Mastery
Learn
Test
Matching
Spaced
No study sessions yet.
67 Terms
View all (67)
Star these 67
1
New cards
Stability
a stable government will result in a stable and successful economy
2
New cards
Ponzi Scheme
dishonest investments looking for easy money (Charles Ponzi)
3
New cards
Socialism
economic system based on collective ownership and control of national resources
4
New cards
Excessive Taxation
Less money available for businesses and households
5
New cards
Inflation and Debasement of Money
leads to increase in prices and higher interest rates for loans
6
New cards
Excessive Regulation
too much regulation discourages current and future business owners from succeeding
7
New cards
Direct Tax
paid directly to the government (example Property/Income)
8
New cards
Indirect Taxes
taxes for which the responsibility for payment can be passed on to someone else
9
New cards
Progressive Tax System
wealthy pay taxes at a higher tax rate than lower income people
10
New cards
Flat Tax
everyone pays the same percentage of taxes regardless of income earned
11
New cards
Regressive Tax
people with a low income pay the highest percentage of taxes while the rich pay a smaller percentage but an equal amount
12
New cards
FICA Tax
funds Social Security and Medicare programs
13
New cards
Original
the government would stay in everything that is public
14
New cards
Current
the government is involved in the public and private sector
15
New cards
Deficit Spending
spending more each year than is brought in through revenue
16
New cards
National Debt
total amount owed
17
New cards
New Deal
created by FDR during the Great Depression
18
New cards
Keynesianism
the government should “prime the economic pump” and put money into the economy
19
New cards
TFP
output per unit of all production units
20
New cards
Sole Proprietorship
simplest form of business organization; has 1 owner
21
New cards
Partnership
2 or more owners
22
New cards
Corporation
legal construct owned by shareholders
23
New cards
LLC
combines a partnership and a corporation
24
New cards
Business Cycle
changes in levels of economic activity over time
25
New cards
GDP
value of all finished goods and services produced within a country during a year’s time
26
New cards
GNP
vale of finished goods and services produced by a nation’s citizens during a year’s time
27
New cards
Peak
the highest point of the expansion
28
New cards
Recession
period of economic decline; GDP is low for 2 months or longer
29
New cards
Trough
the lowest point
30
New cards
Depression
an especially severe recession
31
New cards
Demand-pull Inflation
demand becomes greater than supply resulting in shortages
32
New cards
Cost-push Inflation
production cost increases, so product price increases
33
New cards
CPI
the most used tool to measure inflation
34
New cards
Base Period
time period that has been chosen when the prices of goods are set to 100%, currently 1982-1984 (CPI is compared to the base period)
35
New cards
Stagflation
High levels of inflation combined with high unemployment (results in stagnancy of production)
36
New cards
Supply-side Economics
cutting taxes to make more money available for savings, R&D, hiring new employees, etc.
37
New cards
SSE
implemented by Ronald Reagan
38
New cards
1982-1984
What time period was chosen when the prices of goods are set to 100%
39
New cards
Ronald Reagan
Who implemented SSE
40
New cards
Budget
a spending plan that ensures you can pay for the things you need
41
New cards
Balanced Budget
income equals expenses
42
New cards
Will
how an estate is to be divided among people or organization
43
New cards
Living Will
directs a healthcare professional what to do should a person become incapacitated
44
New cards
Health Care Power of Attorney
makes health care decisions for an individual if the person becomes incapacitated and is not able to make a decision for themselves
45
New cards
Financial Power of Attorney
gives someone else the right to make financial decisions for a person and control hsi finances when he can’t for himself
46
New cards
Nationalism
promoting and supporting a nation regardless of moral or ethical code
47
New cards
Communism
an economic system based on the government control of production, distribution, and consumption of goods
48
New cards
Karl Marx
Founder of Communism
49
New cards
Bourgeois
middle class capitalists
50
New cards
Proletariat
the poor working class
51
New cards
Class struggle
History is a _______ between the middle class and the poor working class
52
New cards
Utopia
a world in which all goods, money, and labor will be shared equally among the people; a perfect society
53
New cards
Bolshevik Revolution
first communist revolution in history (1917); led by Vladimir Lenin
54
New cards
Alexander Solzhenitsyn
famous writer who was ap prisoner of communist Russia
55
New cards
Inefficiency
goods, jobs, and general economic functions do not work properly resulting in shortages
56
New cards
No Market Signals
scarcity and waste results when the government ignores people’s needs/wants
57
New cards
Bad Management
government and business officials are under qualified or not motivated to succeed
58
New cards
Ineffective Reforms
attempted changes to a weak economy, usually creating more problems (Ex. Five-Year Plan of the Soviet Union)
59
New cards
Socialism
an economic system based on government ownership and control of resources
60
New cards
Universal Healthcare
Results in no incentive for doctors, understaffed, underfunded, power quality care
61
New cards
The Communist Manifesto
What book did Karl Marx write
62
New cards
Condition
What did Marx advocate for equality of
63
New cards
Vladimir Lenin
Who led the Bolshevik Revolution
64
New cards
Communist East Germany and Free West Germany
What 2 countries was Germany divided into
65
New cards
Berlin
What is Germany’s capital
66
New cards
Communist East Berlin and Free West Berlin
What was Berlin divided into
67
New cards
Sweden
What country gives more government aid, more government regulation